Global professional services firm Accenture has proposed the establishment of a new campus in Andhra Pradesh, with plans to create approximately 12,000 jobs.
The company has requested nearly 10 acres of land in Visakhapatnam, leveraging a state policy that offers leased land at ₹0.99 per acre to large employers committed to generating significant employment.
The proposal is currently under review by the Andhra Pradesh government, which has expressed strong interest in bringing Accenture to the region.
A senior state official noted that while formal approvals may take time, the proposal is expected to be cleared.
“It is not an unreasonable ask by Accenture, and the proposal will go through,” the official stated.
India Remains Central to Accenture Global Workforce Strategy
India is already Accenture’s largest employee base globally, with over 300,000 of its 790,000 employees located in the country.
The proposed expansion in Visakhapatnam reflects the company’s continued commitment to growing its operations in India, especially in Tier-2 cities that offer cost advantages and access to local talent.
The move aligns with a broader industry trend where IT firms are increasingly shifting operations to smaller cities to reduce costs related to land, rent, and wages.
Post-pandemic, companies have found it easier to hire locally in these regions, reversing earlier patterns of workforce migration to major urban tech hubs.
Policy Incentives Drive IT Investments in Andhra Pradesh
Accenture’s proposal follows similar initiatives by Tata Consultancy Services (TCS) and Cognizant, both of which have secured land leases under the same state policy.
TCS has earmarked over $154 million for its new facility, while Cognizant plans to invest $183 million.
Together, these projects will generate around 20,000 jobs in Visakhapatnam.
The Andhra Pradesh government’s policy is designed to attract large-scale employers by offering affordable land and streamlined approvals.
The focus is on boosting local employment and positioning Visakhapatnam as a competitive destination for IT and technology investments.
Uncertainty in Global Markets Shapes Expansion Strategy
Accenture’s expansion comes at a time when global IT firms are navigating increased regulatory and economic uncertainty.
The U.S. administration’s recent decision to impose a $100,000 fee on new H-1B visa applications has raised concerns across the sector.
Indian IT firms, which are among the largest beneficiaries of H-1B visas, may face cost pressures and talent mobility challenges.
Additionally, proposed U.S. tax changes targeting outsourcing services have prompted companies to reassess their delivery models.
By investing in local campuses and hiring domestically, firms like Accenture are adapting to these shifts while continuing to serve global clients.
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