US retail giant Costco Wholesale Corporation is setting up its first Global Capability Centre (GCC) in Hyderabad, India. The move marks a strategic expansion of the company’s global operations and reinforces India’s status as a major hub for advanced technology and innovation in the retail sector.

The upcoming centre is expected to employ 1,000 people in its initial phase, with further expansion anticipated in the future. The Hyderabad facility will serve as a key support system for Costco’s global business functions, including technology, finance, research and development, and supply chain operations.

Costco’s decision aligns with a growing trend among global corporations to establish in-house capability centres in India. These centres have evolved beyond traditional outsourcing models and now play a vital role in innovation, digital transformation, and data-driven decision-making. India currently hosts GCCs for several major companies including Walmart, Target, JPMorgan Chase, McDonald’s, Heineken, and Vanguard.

Industry experts highlight that Hyderabad has emerged as a preferred destination for global firms due to its skilled talent pool, strong IT infrastructure, and supportive government policies. According to estimates by Nasscom and Zinnov, India’s GCC market is expected to grow from 64.6 billion dollars in FY24 to between 99 and 105 billion dollars by 2030.

With Costco joining this growing ecosystem, the development is seen as a major boost to Hyderabad’s status as a global technology hub. The centre will also contribute significantly to India’s employment and innovation landscape in the coming years.

The company has not yet released an official statement regarding the project timeline or specific operations but sources suggest that recruitment and operational setup are already underway.