India Becomes GCC Magnet: Big Tech Shifts Base from Eastern Europe Amid Talent Crunch

Image Source: ET Government

India is fast emerging as the global epicenter for tech innovation and delivery, as multinational giants like SAP, Intel, Google, and IBM pivot their Global Capability Centres (GCCs) from Eastern Europe to Indian cities. The shift is driven by rising costs, talent saturation, and geopolitical instability in Europe, making India a strategic and scalable alternative.

Key Drivers Behind the Shift

Eastern European hubs like Poland, Romania, and Hungary are facing diminishing cost advantages and limited talent scalability.
India offers a 50% salary benefit compared to Eastern Europe, along with a vast, adaptable talent pool.
Geopolitical tensions, especially the RussiaUkraine conflict, have added uncertainty to European operations.

Major Moves and Expansions

SAP has ramped up hiring in Bengaluru and Gurgaon, while Intel strengthens its engineering centres across India.
Google is relocating software engineering and QA roles from Krakow to India, focusing on Android, Chrome, and Cloud.
IBM is shifting cloud services roles from Warsaw to Indian cities.
Deutsche Bank and UBS have consolidated tech and compliance operations in Pune, Hyderabad, and Bengaluru.
ArcelorMittal has launched a GCC in Hyderabad for digital, HR, IT, and finance support.

India’s Strategic Edge

India’s GCC ecosystem offers fullstack capabilities—from R&D and product engineering to business operations and AI innovation.
Over 500 new GCC setups or expansions are expected in the next 2–3 years.
Tier 2 cities like Coimbatore and Jaipur are gaining traction for costeffective talent and retention.

Sources: Times of India, MSN News, Fortune India, The420.in, Nasscom, Newswire.com

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