HomeFundingRakuten to Invest $100M in India and Grow Its AI Talent Base

Rakuten to Invest $100M in India and Grow Its AI Talent Base

According to Sunil Gopinath, the CEO of Rakuten India, Rakuten, a large Japanese internet company, plans to invest over $100 million in India in 2025 and grow its team by 8%.

The company wants to improve its technology and systems, focusing on using AI in its work, such as business tools and customer services.

Rakuten now has 4,000 employees in India, and 90% work in technology. The company also plans to hire more people with AI skills.

Rakuten’s Global Capability Centre (GCC) in India helps create essential products, such as Rakuten Pay and the SixthSense platform, which can predict system issues. Clients in banking, healthcare, aviation, and government use this platform.

1. India’s GCCs evolve from cost-saving hubs to innovation centers

Rakuten’s hefty $100 million investment in India shows the changing industry. Global Capability Centers (GCCs) are no longer just for support—they are now essential centers for new ideas and innovation.

India’s GCC sector now employs around 1.6 million people. It is expected to grow from $64.6 billion in 2024 to $105 billion by 2030, showing how important these centers are becoming for global businesses.

Rakuten’s India Center manages about half of the company’s 70+ global businesses. This shows that the center is now a key part of Rakuten’s primary operations, not just a support service.

Rakuten’s SixthSense platform, which can spot system problems before they happen, shows that GCCs are now creating valuable technology that helps companies compete globally.

Rakuten’s focus on hiring people with AI skills in India shows this shift. 90% of its 4,000 employees in India work in technical roles, making the center a key part of the company’s global AI strategy.

2. Strategic AI implementation delivers measurable financial returns

Rakuten’s investment shows that companies are no longer just testing AI—they’re now using it in real ways that bring precise business results and measurable benefits.

In fiscal year 2024, the company made ¥10.5 billion ($73.62 million) in profit using AI. One significant benefit was that it almost cut the time needed to create sales materials in half.

Their experience matches industry research: AI tools can boost productivity by up to 40% in certain business areas. This helps employees spend more time on critical, strategic work instead of routine tasks.

The SixthSense platform is a good example of this strategy. It uses AI to predict and prevent system problems before they happen. Banks, healthcare companies, airlines, and even the Indian government use it, demonstrating its usefulness in various industries.

Rakuten’s AI strategy covers productivity tools, business apps, customer interactions, and day-to-day operations. This shows they are using AI in a complete and well-planned way, not just in small parts.

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