US President Donald Trump’s recent tightening of H-1B visa regulations is expected to accelerate the relocation of critical operations from the United States to India’s global capability centres (GCCs), according to economists and industry insiders. GCCs, which manage a spectrum of operations from finance to research and development, are increasingly being recognized as hubs for high-value innovation beyond their initial role in tech support.
India currently hosts approximately 1,700 GCCs, accounting for over half of the global total. These centres now handle sophisticated tasks including luxury car dashboard design, drug discovery, and AI-driven solutions, making them strategically important for multinational corporations.
Industry experts note that visa restrictions and the growing adoption of artificial intelligence are prompting US firms to reassess workforce strategies. “GCCs are uniquely positioned to serve as ready in-house engines for global companies,” said Rohan Lobo, partner and GCC industry leader at Deloitte India. He highlighted that firms with exposure to US federal contracts are among those planning a shift, particularly in financial services and technology. Lobo also expects GCCs to take on more strategic and innovation-led mandates in the near future.
Trump recently increased the cost of new H-1B visa applications to $100,000, up from $2,000–$5,000, adding pressure on firms that rely on skilled foreign talent. In addition, US senators reintroduced legislation to tighten H-1B and L-1 visa rules, targeting perceived loopholes and misuse. Analysts suggest that, if these changes persist, US companies may move high-end functions related to AI, cybersecurity, analytics, and product development to their Indian GCCs, prioritizing in-house innovation over outsourcing.
Experts, including Lalit Ahuja, CEO of ANSR, note a sense of urgency among companies, calling this a potential “gold rush” for Indian GCCs. Some industry veterans also foresee the possibility of “extreme offshoring,” citing lessons from the COVID-19 pandemic that showed critical tech functions could be executed remotely.
However, some caution that potential US taxation on offshore work under the proposed HIRE Act could introduce uncertainties, possibly slowing the shift of operations. Despite these risks, Nomura analysts believe that rising demand for GCC services may offset revenue losses from visa-restricted projects, supporting India’s $283-billion IT sector and contributing to nearly 8% of the national GDP.
As H-1B regulations reshape labor strategies, India’s GCCs are expected to solidify their role as resilient innovation hubs, attracting strategic, high-value work while supporting the global expansion of multinational companies.
