Stock Markets May 6, 2026 04:15 AM

India’s offshore tech hubs reach $98.4 billion in FY26, closing in on 2030 forecast

Rapid expansion of Global Capability Centres and AI-ready talent drive revenues toward earlier long-term projections

By Ajmal Hussain

India’s offshore technology centres generated an estimated $98.4 billion in revenue for fiscal 2026, a level previously forecast for 2030, driven by growth in Global Capability Centres (GCCs), an AI-ready workforce, faster-to-scale operating models and supportive tax policies. Multinationals are shifting higher-value and AI work to India amid rising U.S. visa costs, geopolitical inflationary pressures and AI-led disruption.

India’s offshore tech hubs reach $98.4 billion in FY26, closing in on 2030 forecast

Key Points

  • India’s offshore technology centres generated an estimated $98.4 billion in revenue in fiscal 2026, nearing earlier 2030 revenue projections.
  • Global Capability Centres are increasingly hosting higher-value activities such as finance, software development and R&D, supported by a large AI-ready workforce, faster-to-scale operating models and supportive tax policies.
  • North American companies accounted for about two-thirds of new GCC setups; India hosted 2,117 GCCs with a talent base of 2.36 million in fiscal 2026.

India’s offshore technology operations produced roughly $98.4 billion in revenue during fiscal 2026, bringing the sector close to revenue levels that had been projected for 2030, according to a report produced by industry body Nasscom in collaboration with consultancy Zinnov. The findings indicate a quicker-than-expected migration of higher-value functions to India’s Global Capability Centres (GCCs) as multinational firms move more sophisticated work offshore.

The report highlights that India’s role in global outsourcing has evolved beyond traditional, low-cost back-office tasks. Companies named in the report - such as JPMorgan Chase, McDonald’s and Nvidia - are reportedly using GCCs to support headquarters with higher-value activities including finance, software development and research and development. The combination of a large AI-ready workforce, operating models that scale more rapidly, and tax policies deemed supportive has enabled firms to expand those higher-value functions more quickly than before.

Several macro and operational factors are cited as motivating this shift. Higher U.S. visa costs, inflationary pressures tied to global conflicts, and disruptions introduced by AI are encouraging multinational corporations to move strategic and AI-related work to India’s GCCs. The report also notes a trend of companies bringing critical technology functions in-house while simultaneously shifting more strategic work to their India centres, rather than relying solely on external outsourcing.

Compared with projections from a prior report published in September 2024, which estimated that revenue would reach $99 billion to $105 billion by 2030, the FY26 figures show the sector approaching that range ahead of schedule.

During fiscal 2026 India added and expanded over 100 GCCs, the report states, with new or expanding centres from firms including Anthropic, Eli Lilly, FedEx, Marriott and Lufthansa. By the end of fiscal 2026, India was hosting 2,117 GCCs and had a GCC talent base of about 2.36 million employees. Those numbers are close to an earlier projection anticipating 2,100 to 2,200 centres employing between 2.5 million and 2.8 million people by 2030.

Activity in the current year also points to continued expansion: the report notes that BASF, eBay and Revolut have announced plans this year to launch or expand operations in India. Separately, a February forecast referenced in the report projected India’s broader IT sector to surpass $300 billion in revenue for the first time in fiscal 2026, a milestone tied to rapid, AI-driven change within the industry.


Implications for companies and markets

The report’s findings suggest that North American firms remain the primary drivers of India’s GCC growth, accounting for roughly two-thirds of new setups. The relocation of work to India is being framed by companies as access to talent and operating models that enable faster scaling of higher-value activities.

While the pace and composition of this shift are laid out in the report, it does not extend into prescriptive recommendations or forecasts beyond the stated figures and earlier projections. The data presented underscore a material rebalancing of where multinational firms locate strategic and technology functions within their global footprints.

Risks

  • Rising U.S. visa costs may continue to alter the location decisions of global firms, impacting talent mobility and operational structure in affected sectors such as technology and financial services.
  • Inflationary pressures linked to global conflicts could change cost dynamics for multinationals and influence where strategic and AI-related work is assigned.
  • AI-led disruption is prompting firms to bring critical technology functions in-house, which could alter vendor relationships and demand patterns across outsourcing and IT services markets.

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