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AI is reshaping how enterprises think about office space, says WeWork India CEO Karan Virwani

As AI makes headcount harder to predict, the case for locking into long-term leases is weakening and flexible workspace is filling the gap.
By Wocult Affairs
22 August 2026
AI is reshaping how enterprises think about office space, says WeWork India CEO Karan Virwani

Karan Virwani, MD and CEO of WeWork India, told CNBC TV18 that AI is no longer just reshaping how companies build products and run operations, it is now changing how they plan and structure their physical workplaces.

A joint research study by WeWork India and Redseer Strategy Consultants found that AI-focused hiring in India has grown sixfold since 2019, with 95% of enterprises surveyed planning to accelerate AI adoption over the next 18 to 24 months. Nearly half have already set up dedicated AI labs or centres of excellence.

Virwani said AI teams are generating a different kind of office demand, one that favours collaborative zones, project rooms, quiet areas and higher-grade connectivity and power infrastructure, rather than conventional fixed seating.

The broader market data supports the shift. Flex operators accounted for approximately 25% of total office leasing activity in India in the first half of 2026, up from 16% in the same period of 2025, according to CBRE India. The Redseer report projects that India's flexible workspace stock could quadruple to 324 million square feet by 2030, with GCC flex leasing growing at a 28% compound annual growth rate,1.7 times the pace of the wider market.

A key reason, Virwani argued, is that AI is making traditional workforce planning less reliable. WeWork India's research found that 45% of enterprises believe AI has made headcount planning more difficult. The conventional model built on predictable staff numbers and long planning cycles is being tested by faster-moving business conditions.

Workspace quality is also emerging as a talent factor. The research found that 89% of enterprises now consider workspace quality more important than they did two years ago, and 82% said it plays a direct role in attracting and retaining AI and technology talent.

WeWork India closed FY26 with 8.6 million square feet across 76 centres in eight cities, reporting full-year revenue of ₹2,477.4 crore, up 23.4% year on year, with net profit more than doubling to ₹179 crore.

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