Walmart doubles down on India with second GCC in Chennai to strengthen tech backbone

Bengaluru: Walmart's Indian technology arm has leased nearly 465,000 square feet of office space in Chennai for setting up its second global capability centre (GCC) in the country, enhancing the US retail giant's investment commitment in the country's robust tech ecosystem.

WM Global Technology Services India Pvt Ltd rented the office space at the International Tech Park Chennai (ITPC). Located at ITPC's Block 1, the property was leased from Radial IT Park Pvt Ltd. It spans five floors with a chargeable area of 465,447 sq ft, showed the lease document shared by Propstack, a data analytics firm.

The expansion follows Walmart leasing about 950,000 sq ft in Bengaluru in the December quarter from realty developer Prestige Group to set up its first GCC in India.

"The lease agreement begins on January 1, 2025, and spans a tenure of 60 months. The agreed rental rate is ₹70 per sq ft per month, translating into a monthly rent of ₹3.26 crore," the document showed. "Walmart has also deposited a six-month rental amount as security, totalling approximately ₹19.55 crore," it mentioned.

Innovation Hub
As per the agreement, the rent will escalate by 4% annually over the lease term.

Experts say the addition of the Chennai centre reflects Walmart’s strategy to build a strong pan-India tech presence.

“Chennai’s IT corridor has emerged as a prominent hub for GCCs due to the availability of skilled talent, well-developed infrastructure, and cost advantages. Walmart’s decision to establish operations in ITPC further validates Chennai’s growing prominence in the global tech landscape,” a person said.

India has become a pivotal part of Walmart’s global tech strategy. The Chennai GCC will house teams working across critical technology functions that power Walmart’s global retail ecosystem and can seat 4,500 employees. From data engineering and artificial intelligence to cloud computing and cybersecurity, the Chennai facility will serve as a key contributor to Walmart’s innovation agenda.

“With capability centres in both Bengaluru and Chennai, Walmart is positioning itself to leverage India not just as a back-office location but as a full-fledged innovation hub,” said the person cited above. “This dual-city presence enhances agility, talent access, and operational resilience — cornerstones for the next phase of growth in a rapidly evolving global retail environment.”

Walmart’s latest expansion underlines the growing importance of India in global retail-tech strategies and highlights how multinationals are increasingly integrating Indian talent into their core innovation and operational framework. These firms are increasingly leveraging India’s deep talent pool by establishing their GCCs as strategic hubs or second headquarters, driving innovation, digital transformation, and high-value capabilities.

Expansion into multi-functional centres, consolidation of existing operations, and the entry of new players are expected to fuel GCC-led leasing activity. Industry experts project GCCs will comprise about 40% of total office space absorption across India’s top cities in 2025, said CBRE in its latest report.