Global Capability Centres: the AI-ready GCC push in India

Global Capability Centres: the AI-ready GCC push in India

Global Capability Centres: Embark and Tavant bet on the AI-ready GCC

Embark, a Bengaluru firm that helps global companies set up Global Capability Centres in India, and Tavant, a Silicon Valley-headquartered AI transformation specialist, have announced a strategic partnership. The two will combine Embark’s capability in setting up and running a centre — strategy, entity set-up, location, workspace and talent — with Tavant’s strengths in data, generative AI and software engineering, to help enterprises build and transform AI-ready Global Capability Centres in India.

The announcement, made on 9 October 2026, carries no disclosed client, contract value or committed scope. It is a partnership of intent, and it should read as one. The more substantial story sits around it: India’s Global Capability Centres market is large, growing fast, and shifting from cost arbitrage to AI capability — and a service layer is forming to build and run those centres.

What the partnership covers

The pitch is integration. For an enterprise setting up a new centre in India, the two firms promise to reduce the fragmentation that comes with assembling a location, an entity, a workforce and a technology function separately. They say technology teams can start building AI and data capability from day one, in parallel with the foundational set-up, rather than waiting for every element to be in place.

For organisations that already run a centre in India, the partnership offers diagnostics, Data & AI Centres of Excellence and embedded technology pods, aimed at moving from project-based delivery to product ownership and at scaling AI from pilot to production. The companies offer three engagement models — Assisted Build, Build–Operate–Transfer and Employer of Record — so a client can choose how much ownership it takes at each stage.

Those models matter to how enterprises buy. Under an Assisted Build, the provider helps the company stand up its own centre while the company keeps ownership. Build–Operate–Transfer goes further: the provider builds and runs the centre for a period, then hands it to the client. Employer of Record lets a company hire staff in India quickly without setting up a legal entity first — useful for a firm testing the market before it commits. Each model trades control against speed, and the choice often depends on how fast a company wants to move and how much regulatory and HR complexity it wants to absorb.

Tavant’s chief executive, Sarvesh Mahesh, frames the offer around speed: “Our teams can start building AI and data capability from day one, while Embark runs the operating foundation in parallel.” Embark’s co-founder and chief executive, Aravind Maiya, frames it around AI being foundational “from the very beginning of the GCC journey.”

The market it is chasing

That language makes sense against the numbers. India is the world’s largest hub for Global Capability Centres — the in-house offshore centres that global companies run for engineering, operations and, increasingly, product development. As of FY2026, India hosted 2,117 such centres across 3,728 units, generating $98.4 billion in revenue and employing about 2.36 million professionals, according to the Nasscom–Zinnov GCC Landscape Report. The count has grown 32% since FY2021, and 506 of the Forbes Global 2000 run a centre in India.

The AI content is the fastest-moving part. Roughly half of the centres established since FY2021 had AI as a core focus from inception, and more than 1,200 now embed AI or machine-learning capability, supported by about 250,000 AI professionals and 250 dedicated AI Centres of Excellence. The ecosystem has become the world’s number-one market for AI hiring, a fact that matters to any provider selling “AI-ready” services.

Longer-range projections, from Deloitte, the CII and Nasscom, point to GCC gross value added of $155–199 billion by FY30 and more than 5,000 centres by 2030. The ownership is broadening too: alongside large multinationals, mid-market and private-equity-backed companies now run a growing share, and India counts more than 500 PE-backed centres, about a third of them set up in the past five years. Those newer, smaller entrants are likelier to buy an integrated set-up service than to build one themselves. Whatever the exact figure, the direction is unambiguous, and it explains why providers want a position in the market.

The shift from cost to capability

The more interesting change is qualitative. For two decades, India’s Global Capability Centres grew on a simple proposition: skilled talent at scale, at low cost. That proposition is fading. Reuters reported in May 2026 that the model is moving “from cost to capability,” with talent strains beginning to bite, and that leaders increasingly treat the centre as a place to build products and own global mandates, not merely to support them.

The market data supports the shift. Nearly half of India’s centres now operate at a high maturity level, and 96% of those established after FY2021 launched with a product or portfolio mandate rather than a pure support remit. Leadership roles have widened: 64% of site leaders now hold dual mandates that include cybersecurity and AI governance. Centres are also spreading beyond the traditional hubs — Hyderabad now accounts for a large share of new set-ups, and tier-2 cities such as Coimbatore, Jaipur and Indore are growing quickly. Bengaluru and Mumbai remain the largest hubs, but the map is widening, and that changes the choices on both sides of the table.

AI Capability

That is the context in which an “AI-ready GCC” pitch lands. The buyer is no longer just an executive looking to cut cost; it is a company deciding where to build product and AI capability, and how fast.

Setting up a centre in India is a multi-part exercise. A company must choose a city, register an entity, lease and fit out workspace, hire and train talent, and put finance, HR, security and compliance functions in place — before the first line of code is written. That is the fragmentation Embark says it removes, and the reason a set-up specialist exists. Adding AI readiness to the same engagement means designing the technology function from the start, rather than bolting it on once the centre runs.

The service layer forming around GCCs

As the market matures, a provider ecosystem has grown to serve it: GCC set-up advisers, real-estate and workplace specialists, talent firms and engineering partners. Embark is a recent entrant — established in 2025 — that leans on the Embassy Group, a long-established Indian real-estate developer, for infrastructure and workplace backing. Tavant brings 25 years of engineering delivery and an “agentic engineering” platform, and it positions itself as an AI transformation specialist rather than a general IT-services firm.

The Embark–Tavant partnership fits a recognisable pattern: a set-up specialist and a technology specialist combine to sell an integrated route to a centre. Talent is the constraint that will test the model. India offers depth — 2.36 million GCC professionals and the world’s largest pool of enterprise AI hiring — but the shift to AI capability strains it. Organisations increasingly prioritise reskilling over headcount growth, and demand for AI-centric skills keeps rising. AI governance is becoming part of the centre leader’s job, and most site leaders now carry it alongside global functional ownership. For a provider promising AI readiness, the practical test is whether it can supply people who build, govern and scale AI systems, not just deploy them. Whether that model outperforms the alternatives — a large IT-services firm doing everything, or an enterprise assembling its own providers — is exactly what the announcement does not, and cannot yet, show.

The field is crowded. Large Indian IT-services firms already sell centre set-up and AI transformation together, and global consultancies compete for the same enterprise conversations. A partnership between a young set-up specialist and an AI engineering firm differentiates on integration and speed, but it faces rivals with far greater scale, references and delivery history. That is the competitive reality behind an announcement that, on its own, reveals little.

What the partnership does and doesn’t establish

It establishes an intent to sell AI-ready GCCs through a single engagement model, and it aligns two complementary capabilities under one pitch. It does not establish a signed client, a proven delivery model, a value or a timeline. For a firm founded in 2025, that gap is the one that matters: the integrated model is a hypothesis until a named enterprise proves it.

The GCC market, by contrast, is not a hypothesis. It is a nearly $100 billion ecosystem that is reorganising around AI, and every provider in the space — established IT-services giants included — is repositioning for it. The Embark–Tavant partnership is a small entry in that contest. Its success will depend less on the announcement than on whether enterprises actually buy a centre built AI-first from the start.

Global Capability Centres: the AI-ready GCC push in India

What to watch

For enterprises weighing a new or existing centre in India, the practical questions are whether an integrated set-up-and-AI model shortens time to value, and whether the provider can show named references and delivery metrics. For the market, watch whether the “AI-ready GCC” framing becomes a standard buying criterion or stays a marketing label. And for the provider ecosystem, watch whether partnerships like this one consolidate into fewer, larger players or multiply as the market grows toward 2030.

Editor’s Note: This article draws on the companies’ announcement and public materials, plus independent industry research including the Nasscom–Zinnov GCC Landscape Report and reporting by Reuters. The partnership’s client, value and scope remain undisclosed, and the companies’ claims have not been independently verified. No interview was conducted for this article. See the source list in the publication package.