The opening of Global Capability Centres (GCCs) in India has experienced a decline, with only 63 new centres launched in the first quarter of 2026, compared to 74 in the same period last year, according to a report by UnearthIQ. The slowdown is attributed to volatile global geopolitics, particularly following the onset of the Iran war, which has led to reduced project discussions. However, the number of companies establishing greenfield GCCs increased to 28, up from 24 a year prior. Despite the challenges, the overall GCC ecosystem in India is projected to grow at an annual rate of 18-22%, with revenues anticipated to surpass $80 billion in FY25. Industry experts noted that while GCCs are taking some market share from IT service providers, they are also creating new demand, particularly in areas like artificial intelligence, product engineering, and digital platforms. This dual-pronged redistribution is reshaping the IT landscape, as companies alternate between GCCs and third-party models based on their specific needs.