The trend of expanding beyond metros is gaining traction in the tech industry, as many companies look to source high-quality talent in tier II and III cities. These locations not only provide skilled talent but also reduce labor turnover compared to major tech hubs.

In November 2024, Infinx Healthcare – a provider of patient access and revenue cycle management (RCM) software solutions – announced the opening of a new delivery center in Madurai, Tamil Nadu. This is the company’s eighth facility in India, playing a key role in supporting its US-based customers, including major hospitals.

The pioneering expansion into new regions by tech companies like Infinx is also creating momentum for customers’ global competency centers (GCCs) to follow suit. Infinx aims to create 700 jobs through the centre over the next five years, leveraging the local talent pool and education system in the region.

In addition, the centre is also envisioned to become a ‘Centre of Excellence’, leveraging artificial intelligence (AI) and automation to optimise RCM processes, reduce errors and support more effective decision-making.

Sudeep Tandon, CEO, Infinx Healthcare, commented: “The choice of Madurai as the destination for the new centre reflects the city’s strong human resource potential, with strong support from the education system and government incentives.”

This shift is an inevitable trend as technology companies look for sustainable, cost-effective and long-term human resource solutions.