India’s GCCs move up the value chain with product development and IP creation

GCCs pivot from services to product development

India’s Global Capability Centres (GCCs) are increasingly focusing on building products and intellectual property (IP) rather than solely delivering technology services. According to YourStory, this shift reflects the growing engineering capabilities in India and the opportunity to take ownership of innovation for global markets.

Leaders from three major GCCs—Mercedes-Benz Research and Development India, Siemens Healthineers, and Lufthansa Systems India—highlighted this evolution during a panel discussion at TechSparks 2026. The conversation centred on how localisation, domain expertise, and problem-solving are driving this transition.

Healthcare solutions localised for global impact

Siemens Healthineers has demonstrated how localising healthcare solutions can lead to global success. The company developed a C-arm imaging system in India, tailored to address local needs such as differences in lifestyles, disease prevalence, and affordability. According to YourStory, this product now serves 40 markets worldwide and has an installed base of 1,400 units.

Kalavathi GV, Executive Director and Head of the Global Development Centre at Siemens Healthineers, explained that the company shifted from adapting products designed for developed markets to co-creating solutions with Indian customers. This approach ensured the product addressed specific local challenges while also gaining relevance in other markets.

Around 50% of Siemens Healthineers’ software professionals are based in India, underscoring the country’s role in the company’s global R&D efforts.

Aviation and automotive sectors embrace ownership

Lufthansa Systems India, part of the Lufthansa Group, has leveraged India’s growing aviation ecosystem to expand its operations. While the company established its India centre recently, the wider Lufthansa Group already employs over 1,000 people in the country. According to YourStory, Bengaluru’s advances in automation and its established aviation partnerships were key factors in this growth.

Luigi Celmi, CEO of Lufthansa Systems India, emphasised the importance of India’s role in the company’s global strategy, particularly in developing solutions for the aviation industry.

In the automotive sector, Mercedes-Benz Research and Development India has evolved from executing specific tasks to owning entire systems and subsystems. Manu Saale, Managing Director and CEO, noted that this shift reflects the maturity of India’s engineering talent and the company’s trust in local teams to drive innovation.

Nasscom data highlights industry trends

According to Nasscom data cited by YourStory, 39% of GCCs in India are now involved in product development, signalling a broader industry shift. This move toward innovation ownership is reshaping how GCCs contribute to their parent companies and global markets.

The panelists agreed that building original IP requires a problem-first approach, rather than a technology-first mindset. This transition from service-oriented thinking to identifying and solving problems is critical for GCCs aiming to create long-term value.

What this means

Lazyfounder analysis — our interpretation, not reported fact.

The evolution of India’s GCCs from service providers to product and IP creators reflects a broader trend in the global technology and innovation landscape. For founders and operators, this shift underscores the importance of localisation, domain expertise, and ownership in driving scalable solutions.

GCCs are no longer just cost centres or execution hubs; they are becoming strategic partners in global R&D. This change offers a playbook for startups and established companies alike: prioritise understanding local market needs, invest in domain expertise, and empower teams to take ownership of entire products or systems. The success of initiatives like Siemens Healthineers’ C-arm imaging system shows that solutions designed for specific markets can achieve global relevance when approached with the right mindset.

For Indian startups and operators, this trend also signals an opportunity to collaborate with GCCs as partners rather than just clients. The growing focus on IP creation means GCCs are open to co-innovation, which could accelerate the development of homegrown solutions for both domestic and international markets.

Key takeaways

• GCCs in India are increasingly positioned to drive innovation and IP creation, not just service delivery.
• Localising products for specific markets can unlock global opportunities and scalability.
• Founders and operators should prioritise domain expertise and problem-solving over technology-first approaches to build original IP.
• Partnerships and ecosystems, like Bengaluru’s aviation hub, can accelerate growth for GCCs.
• Shifting from service-oriented models to ownership of products and systems is critical for long-term value creation.

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