India is experiencing a significant uptick in AI and cloud hiring, particularly within the technology centers of multinational companies.

According to data from TeamLease Digital cited by The Economic Times, Global Capability Centers (GCCs) added nearly 200,000 net employees in fiscal 2026, nearly double the 110,000 new hires by IT services firms. This trend marks the third consecutive fiscal year where GCCs have outpaced traditional IT sectors in net hiring, highlighting a clear shift between India’s conventional outsourcing models and its rapidly expanding in-house technology operations.

For technology leaders in the Asia-Pacific region, this transition alters the strategic role of India within AI and cloud initiatives. GCCs are evolving from mere offshore support hubs to essential entities managing AI platforms, cloud architecture, cybersecurity solutions, and product engineering. This shift reflects companies’ desire for closer oversight of their data, intellectual property, and service delivery.

Reasons Behind the Shift of AI Work In-House

The hiring data from TeamLease indicates the strong momentum GCCs have gained in technology recruitment. Multinationals are increasingly investing in internal teams for AI and cloud projects, particularly when dealing with proprietary models, sensitive information, or heavily regulated environments.

According to Deloitte’s Rohan Lobo, who spoke to The Economic Times on June 4, 2026, factors such as intellectual property control, data protection, regulatory compliance, and high-value operational needs are driving companies toward GCCs. These captive centers often provide a more streamlined governance framework than the shared delivery models typically offered by vendors, especially when developing proprietary AI solutions or managing sensitive datasets.

This governance imperative is similarly influencing cloud strategies, as organizations transition from fragmented AI initiatives to cohesive platforms capable of managing agents, data, security, and workflows at scale.

The scale of India’s GCC market has also undergone significant change. The 2026 GCC landscape report by Nasscom and Zinnov, published on May 6, indicates that India is home to 2,117 GCCs that collectively employ approximately 2.36 million professionals. This ecosystem has generated $98.4 billion in revenue, with over 1,200 GCCs incorporating AI and machine learning capabilities.

Potential Constraints on GCC Growth Due to AI Talent Shortages

The same report from The Economic Times reveals that GCCs are responsible for an estimated 30% to 35% of India’s AI-related hiring. Notably, demand is concentrated in experienced roles: data from TeamLease Digital shows that the share of mid-to-senior talent in GCC hiring rose from 60% in 2023 to over 77% in fiscal 2026, with the highest demand seen in AI, platform engineering, cloud computing, cybersecurity, and data analytics.

However, talent supply poses a significant challenge. In April, The Economic Times reported findings from Quess Corp indicating a 38% to 42% gap in AI and data skills within India’s GCC landscape. Moreover, Deloitte’s Lobo reported that demand for AI specialists had surged by more than 300% since 2024.

Current statistics do not clarify how much GCC hiring is directly sourced from IT services firms versus new market entrants, returning employees, or broader industry growth. For organizations assessing the model of vendor delivery against in-house teams, the strongest justification for internal operations hinges on managing sensitive data, fraud prevention, identity systems, product ownership, and regulatory compliance, particularly in light of increasing AI-driven security threats across the region.

The next phase of growth for India’s GCCs hinges less on market demand and more on the ability of companies to effectively train, hire, and retain specialists in AI and cloud technologies.

Also read: South Korea’s Nvidia-backed AI buildout illustrates how APAC AI strategies are evolving into commitments around cloud, memory, robotics, and manufacturing.

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