Published on: September 11, 2025

KARNATAKA LEADS IN MID-MARKET GCCS: REPORT

KARNATAKA LEADS IN MID-MARKET GCCS: REPORT

NEWS

  • Karnataka houses over 50% of India’s mid-market Global Capability Centres (GCCs), employing 74,000+ professionals, according to the Karnataka Mid-Market GCC Report 2025 released by the Karnataka Digital Economy Mission (KDEM) and Zinnov.
  • The State hosts 230+ out of 480+ mid-market GCCs in India.
  • These GCCs are expanding faster and maturing 1.4 times quicker than larger peers, with focus on:
    • Product ownership
    • CXO-level leadership
    • AI-first strategies

HIGHLIGHTS

What Are Mid-Market GCCs?

  • Set up by mid-sized enterprises with annual global revenues of $100M–$1B.
  • Operate at 40% the size of non-mid-market peers nationally; in Karnataka, the ratio is sharper at 35%, due to leaner, high-trust teams.

Karnataka’s Advantage

  • Policy Support: First State to launch a dedicated GCC policy (2024).
  • Infrastructure: Plug-and-play facilities, payroll incentives, and simplified regulations.
  • Talent Hub:
    • 50% of India’s AI/ML talent
    • 38% of national digital workforce
    • Bengaluru: world’s 4th largest tech & innovation cluster
  • Market Share: Captured 65% of all new mid-market GCCs since 2023.

Government Support

  • Release of KATALYST GCC Handbook:
    • A guide for firms setting up GCCs in Karnataka.
    • Part of the Ease of Doing Business cell launched in August 2024.
  • Minister Kharge stressed industry-government collaboration to boost software development and attract more GCCs.