Costco's Indian Tech Venture: A New Frontier in Hyderabad

Costco Wholesale Corp is venturing into India, with plans to establish its first technology centre in Hyderabad, sources familiar with the development have revealed. This new Global Capability Centre aims to foster technology and research operations, initially employing 1,000 individuals and expanding in the future.

Over the years, Global Capability Centres (GCCs) that originated as outsourcing hubs have undergone significant transformation. They now support their parent companies across various functions, including daily operations, finance, and research and development. India has already attracted numerous global brands to set up their GCC operations, with companies like McDonald's, Heineken, and Vanguard Group opting for Hyderabad as a strategic location.

According to a report by Nasscom and Zinnov, India's GCC market is projected to grow substantially, reaching an estimated valuation of $99 billion-$105 billion by 2030, up from $64.6 billion in fiscal 2024. Costco has yet to respond to requests for comments regarding this strategic expansion.