GCC Wars: Are UP, MP, and Tamil Nadu the Next Big Players?

This Outlook Business piece highlights a dynamic shift: Indian states beyond the usual tech hubs (like Karnataka and Maharashtra) are now betting big on Global Capability Centres (GCCs) to attract multinational corporations (MNCs). Uttar Pradesh, Madhya Pradesh, Tamil Nadu, and Andhra Pradesh are aggressively positioning themselves as viable alternatives to traditional metros.

• Scope of GCC Growth: An HSBC report projects India will host 2,550 GCCs by 2030, generating nearly 2.5 million jobs and making a substantial dent in India’s $110 billion services market.
• Madhya Pradesh Strategy: The state’s CM recently held discussions with major IT players, Infosys, TCS, and NASSCOM, to promote GCC development. One promising idea is a Google Cloud-backed startup hub and CoE, signaling the state’s ambition to move beyond traditional offerings.
• Uttar Pradesh’s Policy Push: UP has a draft GCC policy for 2024 that leans heavily on its talent reservoir, improving infrastructure, and business-friendly reforms to appeal to global firms.
• Tamil Nadu’s GCC Gap: Despite ranking high economically, Tamil Nadu lags in GCC penetration. The state has started prioritizing GCC attraction, aiming to close the gap with its southern peers like Bengaluru and Hyderabad.

Must read – What You Must Know About the Karnataka Global Capability Center Policy 2024–2029

Why It Matters

• Policy Beyond Silos: These states aren’t just offering land or tax breaks, they’re building long-term platforms. With talent, infrastructure, and strategic alignment on their side, they could redraw India’s GCC map.
• Dispersion of Opportunity: MNCs now have more choices. No longer must they gravitate to metro hubs. Regions like MP and UP are creating “hub-and-spoke” models, with emerging cities supporting niche capabilities.
• Competition, Not Just Domination: While Kerala and Karnataka remain strong, these policy shifts could inject fresh competition, sparking better GCC propositions for companies and talent alike.

Read More at Outlook Business