Global In-House centres (GIC) have played a key role in the IT-BPO sectors phenomenal growth story, establishing ‘proof of concept’ and branding India as a global sourcing destination. The sement, miniscule till 2003, has witnessed tremendous development in the last 7 year’s – growing at a CAGR of 22 per cent, employing close to 4 lakh people and contributing to 1 per cent of India GDP. Their impact on India extends beyond revenues and employment- playing a leading role in developing an R&D and product culture, spearheading initiatives to develop affordable products for emerging markets and creating entrepreneurship opportunities.

Key Highlights during FY2011

• There are over 750 IT-BPO MNCs captive centres in India in FY2010, 28 per cent of them with multiple locations and employ almost 4 lakh people.
• GIC contribute to 22 per cent of IT-BPO export revenues and 21 per cent of employees
• ER&D/SPD segment is the largest segment within the Indian captive landscape with over 200+ ER&D captives established in the last 3 years
• The ER&D/SPD segment employs 132,920 people, the IT services segment account for 135,306 employees and the remaining 124,799 people are employed by BPO captives.
• Global In-House centres accounted for over 1 per cent of India’s GDP in FY2010, support indirect employment of 1.4 million people and have played a key role in creating an innovation ecosystem in India.
• The industry has significantly grown over the last 5 years and currently has representation from most of the verticals like Aerospace & Defence, Automotive, BFSI, Bio-Technology, Chemicals, Computer Hardware, Education, Electronic/Electrical Equipment, Energy, Healthcare, Industrial, Semiconductors, Software/Internet, and Telecommunications, etc.
• North America and Europe happen to be the largest investors in the captive space; together they contribute to more than 90 per cent of the captives in India
• The majority of GICs are located in the top 6 cities, other Tier 2/3 locations are starting to gain momentum