Bengaluru Emerges as Scale-Up Hub for Midmarket GCCs
Recently, the Karnataka Digital Economy Mission (KDEM), in partnership with global consulting firm Zinnov, has unveiled the “Karnataka Mid-Market GCC Report 2025: Lean, Local, and Globally Impactful.”
The report underscores Karnataka’s dominance in India’s mid-market GCC landscape, hosting 480+ centers and 74,000+ professionals—nearly half of the country’s total. These centers are also maturing 1.4X faster than their larger peers, taking on full product ownership, nurturing CXO-level leadership, and embedding AI-first strategies at their core.
Bengaluru anchors this momentum, with 240+ mid-sized GCCs and a commanding share of India’s talent, 50% of AI/ML professionals, 38% of the digital workforce, and nearly half of global mid-market engineering and product management talent.
Talking to AIM, Sean Kenally, COO, Availity, mentioned that they have chosen the Bengaluru-based GCC as a frontline hub for AI driven innovation. Availity is a healthcare technology company that has had its GCC in India since early 2023.
“India is not just a cost play for us. It’s where the future of Availity is being built,” Vybhava Srinivasan, MD of Availity India said. “For midmarket players like us, Bengaluru offers the right blend of talent, culture, and innovation ecosystems to scale globally.”
Policy support has accelerated growth, with 65% of new mid-market GCCs since 2023 choosing Karnataka, supported by initiatives like Beyond Bengaluru, which is expanding hubs into Mysuru, Mangaluru, Hubballi–Dharwad, and Belagavi where costs and attrition are 15–25% lower.
Companies such as Flexera, Bazaarvoice, Planview, and HERE showcase how quickly firms can scale from Karnataka by embedding AI, cloud, cybersecurity, and analytics innovation.
India’s Tech Edge
Kenally said that Availity has considered outsourcing to major IT services firms like Wipro and Infosys but remains firm on keeping its core technology and innovations in-house.
At the same time, partnerships play a critical role in the company’s growth strategy. “We have a great partnership with AWS,” he said, pointing to the company’s ongoing cloud migration journey.
Partnerships, especially within India’s ecosystem, are set to amplify this model. With many technology-enabled firms located in Bengaluru and neighboring cities, Availity sees its GCC as a hub for fostering collaboration. The company believes startups with strong ideas but limited go-to-market reach can leverage Availity’s established network.
The company views its GCC in India as central to this strategy. “We’re going to be leveraging our GCC to help create the partnerships, create the conduits for growth,” Kenally added.
Scaling with Purpose
Unlike large enterprises with decades-old GCC setups, midmarket companies are entering India with sharper mandates , to innovate quickly, scale efficiently, and leverage cross-functional talent.
Bengaluru, with its deep expertise in AI, data science, and healthcare technology, has become a natural magnet for such growth. Availity, which operates the largest real-time health information network in the US, manifests this shift. Its India GCC is spearheading projects like AuthAI, which reduces prior authorisation turnaround times from days to under 90 seconds.
Other innovations include Diameter Health Upcycling, which transforms fragmented medical records into unified, longitudinal patient journeys and Digital Correspondence, which replaces fax-heavy communication between payers and providers with AI-enabled, real-time messaging.
“Healthcare is a purpose-driven industry,” said Keneally. “When our teams in India see that their work leads to faster authorisations or healthier outcomes, it’s not just about technology, it’s impact.”
A Broader Trend in Healthcare GCCs
Midmarket and pharma-focused GCCs are increasingly choosing India to scale:
Sanofi is investing €400 million in its Hyderabad centre, doubling headcount to 2,600 by 2026. Similarly, Eli Lilly has launched a tech innovation centre in Hyderabad, with plans to hire 1,500 by 2027.
As per a report by m360Research, over 1,600 life sciences and healthcare GCCs now operate in India, employing 280,000 professionals, with Bengaluru hosting the highest concentration.
These midmarket entrants, unlike large incumbents, are embedding themselves deeply in product innovation, AI-driven healthcare solutions, and patient-centric design.
Talking to AIM, Jaspreet Bindra, co-founder of AI&Beyond mentioned that “the rapid growth of India as a GCC hub has been bolstered by progressive government policies and reforms.”
He added that flagship programs such as Digital India, Startup India, and Skill India have empowered the ecosystem for innovation and delivery of service. Furthermore, India’s time zone advantage enables 24/7 operations, providing real-time tie-up with businesses in North America, Europe, and Asia.
“Our GCC is not a support function,” Kenally emphasised. “It’s a growth engine. For a midmarket company, Bengaluru gives us the speed, scale, and intelligence we need to compete with giants.”
The post Bengaluru Emerges as Scale-Up Hub for Midmarket GCCs appeared first on Analytics India Magazine.



