Infosys Ltd is accelerating its push into global capability centres (GCCs), leaning into a structural shift that otherwise threatens its core outsourcing business and that of the broader IT industry.
The Bengaluru-based IT major has mandated dedicated GCC offerings with embedded AI capabilities across its delivery centres, while also setting aside capacity within its campuses to incubate client-owned tech hubs.
The push comes as multinational companies increasingly set up their own capability centres to directly leverage India’s skilled talent and low costs, insourcing work that would have otherwise gone to IT services firms like Infosys, and potentially crimping their revenues.
India currently has about 1,760 GCCs. Nasscom estimates India to have 2,200 GCCs by March 2030, with the sector reaching $105 billion by March 2030.
To be sure, Infosys is not alone in trying to build a business from a trend that also poses a threat. Peers HCL Technologies Ltd and Tech Mahindra Ltd have opened GCC units focused on setting up and running such centres, while mid-tier firms such as Mphasis Ltd and Hexaware Technologies Ltd are investing in advisory firms that help large corporations set up GCCs. Smaller firms including ANSR, Zinnov, Gloplax, and Bridgepath Innovations are also targeting this opportunity.
“Infosys is competing with these firms by cannibalising its own IT revenue to grab more market share amongst GCCs,” an executive with knowledge of the matter said on condition of anonymity. “Skilled talent and deep client relationships are also a bonus for the company.”
The company recently hosted its first GCC conclave in its Electronic City campus in Bengaluru, attended by 300 of its senior leaders, its GCC practice team, and a dozen clients.
“Enterprise AI is not lift and shift. It is root and branch surgery,” said Nandan Nilekani, chairman of Infosys, at the event, underscoring the scale of transformation the company is pitching to clients.
“(Infosys) is looking to handle IT transformation and not just focus on providing talent to the parent firm looking to set up a GCC,” said Ashutosh Sharma, vice-president, research director at Forrester.
An email sent to Infosys on 27 April went unanswered.
Infosys’s strategy
Infosys, which has set up more than 40 GCCs in the past decade—almost half of these in the past two years—is looking to attract GCC setups through its key service offerings and its offices across the country.
The company set up a dedicated GCC practice last year headed by Deval Shah, with about 100 employees, half of whom are external hires with prior experience of building such centres.
At the core of its offering is Topaz, Infosys’s AI suite. The company's management has given a mandate to embed Topaz in all GCC deals and contracts.
The platform includes tools for automating repetitive tasks such as processing travel requests and managing customer queries, along with cybersecurity and data analytics capabilities. It also allows clients to deploy more than 150 pre-trained AI models instead of building their own.
“Most of this is done to ensure we set up AI-first GCCs for our clients. The goal is to provide them with AI-specialised talent, set up AI-native factories, and drive AI transformation across their core business,” said a second executive with knowledge of the matter.
Infosys is also using smaller AI models for simpler tasks and deploying up to three engineers to manage the work of as many as 15 AI agents, improving cost efficiency, according to the first executive.
The second executive added that Anthropic’s Claude has been integrated into these systems for telecom, BFSI and manufacturing clients, and is writing 70–90% of code in some cases.
To support faster rollout, the company is setting up GCC incubation centres across its 22 delivery locations, with dedicated seating capacity for clients.
“This is being done so that most GCCs are set up in our campuses itself,” said the second person cited earlier. “We are not just looking at handling the legal technicalities but are ensuring that talent is available from day one. These are ready-to-use facilities with advanced cybersecurity controls for networks.”
These centres can accommodate more than 500 people in tier-I cities and about 250 in tier-II locations.
“What stands out is the effort to make GCC transformation more repeatable and structured, rather than treating each engagement as a one-off,” said Achyuta Ghosh, executive research leader for GCCs at HFS Research.
“Through platforms like Topaz and its agent-based frameworks, Infosys is trying to bring consistency to how GCCs are designed, scaled, and integrated with enterprise workflows,” Ghosh added.
Most engagements follow a build-operate-transfer (BOT) model, where Infosys sets up and runs the centre for a fixed period before handing it over to the client. The company is also working on separate contracts to enable the transfer of AI tools and software developed during the engagement.
