Five major technology companies, Google, Amazon, Microsoft, Infosys and Accenture, among others, have recently taken up office space in Bengaluru, reinforcing the city’s position as India’s leading technology and Global Capability Centre (GCC) hub, even as concerns around AI-driven job disruption persist.
The leasing activity spans large Grade-A office parks across key micro-markets, including Outer Ring Road, Whitefield, and North Bengaluru. Industry experts say the expansion reflects sustained demand for flexible workspaces, AI and engineering talent, and the continued consolidation of Bengaluru as the preferred destination for technology-led occupiers, despite global macro uncertainties.
As part of a major commitment, Google is significantly expanding its office footprint at Alembic City in Whitefield. The company plans to lease over 2.6 million square feet of office space in the eastern Bengaluru campus, according to a report by Bloomberg.
In another major development, Amazon opened its second-largest office space in Bengaluru, spanning over 1 million sq ft, in Kattigenahalli, about a 25-minute drive from the Kempegowda International Airport. The office space was leased at a monthly rent of ₹6.1 crore, according to documents reviewed by data analytics firm Propstack. The rental agreement commenced on October 9, 2024, and is valid for 10 years. Amazon is paying ₹62.04 per sq ft for a carpet area of 7.14 lakh sq ft and a chargeable area of 9.86 lakh sq ft, as per the lease document.
“Amazon established its presence in Bengaluru over 20 years ago, and the city continues to be a critical part of Amazon’s India strategy. Teams based here build products, services, and technologies used by customers around the world,” the company said in a statement on February 23, 2026.
Among other leases, Infosys has already leased around 5 lakh square feet of office space in the city for ₹2.3 crore monthly rent for 10 years starting from June 1, 2022, Hindustan Times Real Estate reported. Earlier, Microsoft had also leased over 1.8 lakh sq ft of office space in Outer Ring Road to expand its operations in the city.
Bengaluru office segment has a structural edge over Hyderabad and Pune
According to Vivek Rathi of Knight Frank India, Bengaluru maintains a structural advantage over competing markets such as Hyderabad and Pune, driven by both occupier-side and supply-side fundamentals.
From an occupier perspective, companies are drawn to Bengaluru’s deep talent pool and mature ecosystem. The city has evolved into a technology exchange hub, supported by both established GCC players and a vibrant startup landscape.
“The city benefits from the presence of both mature GCC players and a strong startup base, making the ecosystem broader and more resilient. Importantly, the technology landscape is not concentrated in just one or two verticals like traditional IT services. Instead, it spans sectors such as pharmaceuticals, BFSI and automotive, allowing GCCs to expand into diversified domains. Over time, this multi-sector depth creates a self-reinforcing growth cycle,” he said.
On the supply side, Rathi said, Bengaluru offers approximately 230–240 million sq ft of office stock, significantly ahead of many southern peers. While rentals may be around 20% higher than competing cities, occupiers find them acceptable given the quality of Grade-A developments and sustainability standards, he said.
“In terms of scale and runway for expansion, Bengaluru offers much more flexibility,” he said. Companies often sign leases keeping future expansion in perspective. Unlike markets such as Mumbai’s BKC, where space constraints limit large-scale expansion, Bengaluru offers landlords the operational capability and contiguous supply to accommodate long-term commitments,” he said.
GCCs are now the dominant demand driver in the city’s office market. According to Rathi, nearly 45–50% of total office absorption in Bengaluru is coming from GCCs, while domestic IT firms account for only about 10%.”
Eastern micro-markets such as Sarjapur, Marathahalli, Whitefield and KR Puram continue to witness dense GCC activity due to established vendor networks and infrastructure support. Outer Ring Road remains the most active corridor, while North Bengaluru is emerging as a high-potential market owing to airport connectivity and improving residential supply, he said.
Rathi said occupiers currently prefer consolidating into larger campuses within Bengaluru for efficiency and collaboration, though strategies evolve with scale, with companies later diversifying into multiple centres based on operational needs.
