India

3. Global Capability Centres – A Major Growth Engine

With major clusters across Bengaluru, Hyderabad, Chennai, Mumbai, Pune and Delhi–NCR, India now hosts more than 1,700 GCCs – over 400 of which were established in the past five years, alongside 1,100 additional units. Expanding at an exceptional pace, the GCC footprint is projected to reach approximately 2,400 centres by 2030, employing 2.8 million professionals and surpassing US$105 billion in enterprise value.

This growth is fuelled by India’s robust infrastructure, deep engineering talent, innovation‑driven ecosystem and supportive government policies. National initiatives have created an operating environment where global enterprises can scale, collaborate and innovate with confidence. From nurturing start‑ups to developing a digitally skilled workforce, India is enabling GCCs to thrive, evolve and lead transformative change.

Following their meteoric growth trajectory in recent years, India’s GCCs are no longer viewed as mere cost optimisation offshore hubs. They have become strategic engines of R&D, product development, and pioneering innovation, powering next‑generation capabilities for market-leading enterprises across the globe.

4. Self–Reliant Electronics and Semiconductor Powerhouse

India is accelerating its push toward self‑reliance in electronics manufacturing and semiconductors through the flagship Production Linked Incentive (PLI) scheme for strengthening domestic production and securing high‑value investments. The programme targets mobile devices, core electronic components and ATMP operations, creating a strong financial and operational foundation for large‑scale manufacturing. It has attracted major commitments from global players such as Micron, Foxconn, CG Power in partnership with Renesas Electronics and Stars Microelectronics, while significantly expanding India’s electronics output and industrial capabilities.

Beyond the PLI scheme, the India Semiconductor Mission is scaling investments to develop a robust semiconductor and display design ecosystem, advancing the nation’s position as a structured, focused, and globally competitive hub for electronics manufacturing and design. National talent development efforts led by the All India Council for Technical Education and the University Grants Commission, in collaboration with semiconductor firms and cross sector partners, are equipping the workforce with advanced VLSI, chip design and semiconductor manufacturing skills that remain critically in demand. These initiatives collectively enhance India’s global competitiveness and support the growth of a modern, innovation‑driven manufacturing ecosystem.

5. Cloud Adoption and Data Centre Expansion at Full Throttle

Cloud transformation continues to accelerate as enterprises move away from traditional on‑premises systems toward scalable public‑cloud environments. In fact, 67% percent of Indian enterprises are migrating workloads to cloud platforms, firmly establishing hybrid architectures as the dominant deployment model. This shift is further reinforced by hyperscaler commitments totalling US$40-45 billion from the likes of Microsoft, Amazon, and Google, which are expanding localised cloud infrastructure that meets data‑sovereignty requirements and supports high‑performance operations. Azure and Google Cloud Platform remain preferred choices for their integration strength, analytical capabilities and interoperability, while Red Hat OpenShift is widely used to modernise legacy workloads with minimal disruption.

Complementing this cloud momentum, India’s data centre ecosystem is entering a phase of significant national‑scale expansion. With the establishment of state‑of‑the‑art National Data Centres in cities such as Delhi, Pune, Bhubaneswar and Hyderabad, the National Informatics Centre’s planned expansion beyond its current 1,000 MW IT load and 100 PB storage capacity signals a foundational public‑sector commitment to long‑term digital capability and resilience. This national anchor stimulates private‑sector investment, strengthens local supply chains and accelerates the rollout of hyperscale data‑centre projects. Collectively, these interventions aim to enhance cost efficiency, strengthen security, improve operational resilience and advance the adoption of clean‑energy practices that support long‑term environmental sustainability.

6. Cybersecurity and Data Governance Become Strategic Imperatives

Cybersecurity has become a strategic imperative across sectors as organizations respond to increasingly sophisticated threats. Key priorities include identity and access management, privileged access management, secure digital identity and consolidated access portals. Healthcare (21.82%), hospitality (19.57%), and banking and financial services (17.38%) remain the most frequently targeted industries. To counter these risks, organizations are adopting advanced measures such as vulnerability assessments, penetration testing, zero‑trust architectures and third‑party risk governance, while updating contractual frameworks to address emerging requirements related to AI usage, workforce training and enhanced data‑protection obligations.

Data management and governance practices are advancing in parallel. Enterprises are consolidating fragmented data sources into unified platforms such as enterprise data warehouses and data lakes to strengthen governance and standardize access controls. Automated role‑based access management is expanding to ensure precise, compliant data access, and technologies like Kafka enable real‑time data streaming and integration. Core data teams remain focused on data quality, privacy and regulatory alignment, while security teams are monitoring the use of AI and machine learning to mitigate risks such as data leakage, unauthorized access and model misuse, reinforcing a more holistic approach to enterprise risk management.

7. Bridging Workforce Skills Gaps and IT Talent Shortage

The demand for digital skills in India continues to surge, with organisations seeking talent across AI, machine learning, data science, cloud engineering, cybersecurity, and emerging fields such as quantum computing and deep tech. As roles evolve rapidly, two‑thirds of organisations in India report the need to tap into more diverse talent pools, far above the global average of 47%. This widening demand–supply gap has pushed employers to recalibrate hiring efforts and explore alternative strategies to bridge critical skill discrepancies.

To address these capability gaps, organisations are increasingly taking responsibility for developing the skills they require. Many are investing in structured upskilling and reskilling programmes, strengthening internal training pathways and expanding apprenticeships by removing traditional degree requirements. At the same time, organisations are mobilising talent across tier‑2 and tier‑3 cities and deepening collaboration with universities to future‑proof talent pipelines. This is supported by national initiatives such as the Skill India Digital Hub, which promotes ongoing development in AI, machine learning, digital marketing, automation and other advanced technologies. Collectively, these efforts to bridge skills gaps are instrumental in strengthening India’s R&D capabilities and long‑term competitiveness in the global technology landscape.