Starbucks Corp (NASDAQ:SBUX) plans to establish a new technology office in India as part of a strategy to reduce $2 billion in costs, according to an internal memo seen by Bloomberg.
The office, set to launch in fiscal 2027 starting October, will be the coffee chain's first corporate office in India. Recruitment will begin once a site is finalized later this year.
The move aims to bring critical technical roles back in-house, reversing an outsourcing policy from a prior restructuring. Chief Technology Officer Anand Varadarajan said the goal is to reduce reliance on external providers, and establishing a multi-site structure is a key step.
Starbucks currently works with tech providers in several countries, including India. Bringing roles in-house aims to build closer connections to the work.
The international expansion comes amid major changes in domestic tech operations. Starbucks previously announced moving 270 tech roles to Nashville and cutting over 2,000 corporate positions since February, including 300 jobs this week.
