AI CoEs in India: Korean Firms’ Next Innovation Move

– How GCCs in India are Driving GenAI-Led Innovation for Global Leaders

Artificial Intelligence (AI) is not just a technical trend—it is the foundation for the next global economic change. By 2030, AI is expected to add $15.7 trillion to the global GDP. Korean groups like Samsung, Hyundai, SK Group, and LG are already investing in AI, but to truly increase innovation and reduce costs, they need new partners and ecosystems.

India has become a strategic partner. With about 1.2 million AI and analytics professionals, more than 60 GenAI startups in the GCC, and a fast-developing AI Centre of Excellence in India. It is no longer a back office but is a global innovation engine.

For decades, South Korea’s economy has flourished on its chaebol-operated model. Companies mentioned above have accelerated the country’s uplift through manufacturing, export dominance, and hardware innovation.

But today, this model is facing pressure. South Korea’s working-age population is decreasing at a rate of 0.5% per year, and research and development costs are increasing. The country is now facing two imperatives:

Adopt Artificial Intelligence and GenAI in the GCC to remain competitive globally.

Expand digital innovation capacity beyond national boundaries due to lack of talent.

This is the place where India became a hope not only for costing but also for providing an entire manual of AI in GCC and an innovative ecosystem. With over 25 AI Excellence centers, intensive talent pipelines, and growing digital infrastructure, India is not just a distribution center – it is a strategic engine of change.

Now, Korean firms expect an increase of 40% in their AI-Linked outsourcing and GCC investment in India between 2024-2026. India’s stake in the AI-operated digital change contracts for the Asia-Pacific region is estimated to reach 45% by 2027 and the market of GCC in India is estimated to reach $100 billion by 2030, which will be at the center of AI and GenAI.

Why are Korean Groups Looking Towards India?

Korean groups are facing domestic talent shortages, rising operating costs, and rising global competition. Meanwhile, India provides:

A tech-skilled workforce with more than 5 million stem graduates per year.
The world’s third-largest startup ecosystem, which focuses on AI and digital changes.
More than 25 AI centers of excellence in India and emerging technology through government and private participation.
A strong digital public infrastructure (DPI) stack that supports accelerated prototyping and peripinogen.

According to the 2024 report, 73% of GCC global companies in India are planning to expand their digital and AI capabilities over the next 18 months.

Korean Companies can Get Value from Indian AI Excellence Centres

Korean companies can co-develop the AI model adapted for manufacturing, automotive, energy, retail, and medical technology—faster and cheaper than India. By setting up an AI Excellence Centre in India, the Korean groups can get highly ill-affected benefits:

Strategic Goal	Value from Indian AI Centres of Excellence (CoEs)
Lower R&D & Ops Costs	Save up to 40% on AI/ML projects, infrastructure, and engineering cycles.
Faster Innovation	AI prototypes developed 2x faster in agile GCC.
Talent Access	24/7 delivery model with English-proficient GenAI engineers
GenAI Sandbox	Access secure, dedicated GenAI labs with LLM tuning capabilities.
Joint IP Development	Share patents, frameworks, and AI products with Indian CoE partners.
Domain AI Expertise	Specialised AI models for manufacturing, automotive, and medical sectors
Regional Market Reach	Use India as a gateway for ASEAN, MEA, and Africa.
Scalable Digital Infra	Ready DPI stack to simulate, test, and launch AI products rapidly

Inside the AI Centre for Excellence in India

India’s AI Centre for Excellence is organised in three levels:

1. Government’s Centre of Excellence

The AI centers under Meity, STPI and DSS are focused on the Centre for Excellence, Health, Agricultural Technology, Cyber Security, and Financial Technology.
The National AI Mission of India, launched in 2024 supports more than 100 pilot projects using AI and GenAI Mission of India (Budget: ₹ 10,372 Crore / about $ 1.24 billion).
Excellence centers focus on real-world AI in agriculture, healthcare, mobility, and cybersecurity.

2. Educational Industry Cooperation

IIT, IISC, IIIT-H, and ISB AI collaborate with firms like IBM, Google, and Microsoft on laboratories.
Korean firms may be involved in the ongoing research and achieve access to top AI talent.

3. Private Sector AI Laboratories

GCC in India is turning into AI and digital change centers on a full scale.
GCC service providers such as Inducts GCC offer AI CoE as a service with full infrastructure, equipment, and talent.

Bangalore, Hyderabad, Pune, Chennai, and NCRs are top CoE destinations with technical ecosystems.

Strategic Value Flywheel

Start CoE: Korean companies do partnerships with Indian providers to establish an AI Excellence Centre.
Construction and Prototype: CoE makes faster AI/Genai prototypes to suit business goals.
Cost Adaptation: Scalable Indian model AI reduces research and development costs by 35-40%.
Continuous innovation: CoEs develop as laboratories for continuous innovation, LLM training, and product testing.
Extend the IP and Access: The United IP is deployed in Korea, Asia-Pacific, and India as innovation centers.
Promote Global Competitiveness: Cost-elevation-motion benefits help groups to overtake rivals.

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Long-term AI Leadership From India

Korean groups can pursue their journey with Indian CoE as follows:

Step 1: Partnership with installed AI CoE

Take advantage of AI CoE as a Service from Indian GCC firms.
Run a pilot project in NLP for digital manufacturing, AI-based supply chains, and local languages.

Step 2: Create Captive AI GCC in India

Automotive AI, Robotics, Vision System or Medtech AI focused laboratories.
Appoint AI experts, GenAI engineers, and data architects.

Step 3: Cum-Development of IP and Expand new markets

Use the Indian AI CoE to make export-grade products.
Use India’s DPI Stack (e.g., ONDC, UPI and Ayushman Bharat Digital Mission) for health, retail, and fintech AI models.

A Korean EV firm can install an AI CoE in Hyderabad, which will work on battery adaptation, supply chain automation, and forecasted maintenance using GenAI.

Indian GCC Provider is Giving Momentum to This Change

From the point of view of a GCC service provider, we make AI CoE comfortable for Korean firms:

End-to-end CoE Setup

From location search to construction of infrastructure and government approval.
Ensure IP security structure, NDA rule, and regulatory compliance.

GenAI Sandbox Environment

Access to NVIDIA GPU, Enterprise LLM (Mistral, Llama, GPT), and Orchestration Tools.
Support for a multilingual Korean-Indian NLP model.

Talent Perinogen and CoE Staffing

Korean-culture talent pool.
Trained bilingual project manager and engineer trained in Korean professional etiquette.

Tight Distribution and Governance

Transparent sprint-based distribution.
Real-time dashboard tracking of model performance, cost, and sprint.

IP co-creator and transfer

Shared IP licencing model.
AI product incubation for retail, mobility, EV and Medtech.

Conclusion

The growing network of AI excellence Centers in India, supported by intensive talent, government policies, and digital public goods, is creating an ideal environment for AI-Interested global capacity centers. For Korean groups, this is not just an outsourcing strategy; it is a bold step towards AI-managed leadership in global markets.

Now is the time to work. Create your AI future in India, where there is a meeting of vision and implementation.

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Partner with Inductus GCC to set up your AI or GenAI CoE in India, fully managed, innovation-ready, and built for scale. As a trusted GCC enabler, we help Korean conglomerates set up and scale AI Centres of Excellence in India end-to-end, future-ready, and fully governed. Whether you’re exploring GenAI, AI-driven automation, or industry-specific AI models, our CoE-as-a-Service model gives you the infrastructure, talent, and compliance all in one place.

frequently asked questions (FAQs)

What is the Centre of AI Excellence in India?

These are specific centers focused on the development, testing, and expansion of AI solutions, and they are supported by the government and private sector.

Why are Korean groups investing in India's AI Excellence Centres?

India provides AI talent, cost efficiency, and innovation capabilities that support the global competitiveness of Korean firms.

How do GCCs support digital changes in India?

GCCs act as global digital innovation centers, promoting General AI, automation, analysis, and software development.

What is GenAI in GCC and why is it important?

GenAI provides individual, intelligent, and measured solutions, which helps GCC co-produce advanced AI applications

What is the future of AI and GenAI in GCC countries of India?

With increasing investment and government support, India is set to become a global AI co-element center by 2030.

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Aditi

Aditi, with a strong background in forensic science and biotechnology, brings an innovative scientific perspective to her work. Her expertise spans research, analytics, and strategic advisory in consulting and GCC environments. She has published numerous research papers and articles. A versatile writer in both technical and creative domains, Aditi excels at translating complex subjects into compelling insights. Which she aligns seamlessly with consulting, advisory domain, and GCC operations. Her ability to bridge science, business, and storytelling positions her as a strategic thinker who can drive data-informed decision-making.