AI Talent Shortage Threatens Growth of India's Global Capability Centres
AI talent gap of nearly 40% emerges as biggest bottleneck for GCC growth: Quess report
The Economic TimesImage: The Economic Times
India's Global Capability Centre (GCC) ecosystem is facing a significant talent gap of 38-42% in AI and data skills, hindering growth. The demand for specialized roles, particularly in generative AI and machine learning, is outpacing supply, with only six candidates available for every ten open positions.
- 01AI talent gap in India's GCC ecosystem stands at 38-42%.
- 02Demand for AI and data roles has surged, accounting for 60% of tech hiring.
- 03Salaries for AI roles are 1.5-2.5 times higher than traditional IT positions.
- 04Hiring is concentrated in Tier-1 cities, with 88-90% of recruitment.
- 05GCC workforce expected to grow to 2.5-2.7 million by 2030.
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India's Global Capability Centre (GCC) ecosystem is grappling with a critical shortage of specialized AI and data talent, with the gap currently estimated at 38-42%. This shortage is identified as a structural issue rather than a temporary setback, particularly affecting advanced skills in fields like generative AI, machine learning operations (MLOps), and AI observability. According to Kapil Joshi, CEO of IT staffing and recruitment, there are approximately 400,000 core AI professionals in India, but the demand far exceeds supply, with only six candidates available for every ten job openings. The hiring landscape is rapidly evolving, with 60% of tech hiring now focused on AI, data, cloud, and cybersecurity roles, up from 30% two years ago. This demand has led to increased salaries, with companies in the banking, financial services, and insurance (BFSI) sector offering 1.5-2.5 times higher pay for AI talent compared to traditional IT roles. Most hiring occurs in Tier-1 cities like Bengaluru and Hyderabad, which account for 88-90% of GCC recruitment. The GCC workforce is projected to grow to 2.5-2.7 million by 2030, with over 2,200 centres expected to be operational.
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The talent shortage is likely to hinder the growth of India's tech sector, affecting the ability of companies to innovate and compete globally.
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