Why global AI firms are choosing Bengaluru as their India launchpad

AI firms like Anthropic and OpenAI choose Bengaluru for its talent pool, GCC ecosystem and flexible office space for rapid scaling

Global artificial intelligence firms are increasingly choosing Bengaluru as their gateway to India, drawn by the city’s deep technology talent pool, mature digital ecosystem and scalable office infrastructure. Companies such as Anthropic and OpenAI have announced plans to establish or expand their presence in the city, reinforcing Bengaluru’s status as the country’s leading AI hub.

Anthropic recently opened its second Asian office in Bengaluru, following Tokyo, underscoring India’s growing importance in the global AI landscape. OpenAI has also outlined plans to expand operations in Bengaluru and Mumbai, in addition to its existing presence in New Delhi, as part of efforts to strengthen engagement with Indian users and enterprises.

Industry data indicate that Bengaluru accounts for roughly a quarter of India’s AI workforce and is among the largest AI talent clusters globally, with an estimated six lakh professionals in artificial intelligence and machine learning roles. The city is home to more than 16,000 startups and over 1,000 global capability centres (GCCs), creating a dense innovation ecosystem that supports research, product development and enterprise adoption.

Technology firms continue to dominate office demand in Bengaluru, contributing nearly 40% of Grade A office absorption. Within this segment, early-stage AI companies are emerging as a distinct occupier category rather than merely a subset of traditional IT services. While AI-led leasing currently represents a small share of overall office take-up—just over 2%—its strategic significance is considered substantial, particularly as enterprise AI adoption accelerates.

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Micro-markets such as Outer Ring Road (ORR), Whitefield and Koramangala are witnessing rising interest from AI firms. ORR, in particular, has emerged as the primary AI corridor, accounting for a dominant share of AI-related leasing this year. Its appeal lies in a large stock of Grade A office space, proximity to established tech parks and GCC clusters, and strong connectivity to residential catchments. Whitefield and the eastern peripheral business district are also attracting AI occupiers due to infrastructure readiness and ecosystem synergies.

Another defining trend is the preference for flexible and managed office spaces over conventional long-term leases. Early-stage AI companies typically operate in high-growth, high-uncertainty environments, where workforce size and space requirements can shift rapidly. Flexible workspaces allow them to scale operations without long lock-in periods or heavy upfront capital expenditure. Plug-and-play infrastructure and access to collaborative communities further enhance the attractiveness of coworking formats, enabling faster market entry and phased expansion strategies.

Together, these factors position Bengaluru as the natural launchpad for global AI firms entering India.

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