Xerox completed its acquisition of Lexmark on 1 July 2025. The transaction was valued at $1.5 billion including net debt and assumed liabilities. Xerox originally targeted more than $200m of cost synergies; at closing it said it expected approximately $240m of transaction-related cost synergies within two years.
As part of that initiative, Xerox said it is accelerating the shift to Global Capability Centers as part of the new cost programme. In addition to costs optimization, it also targets organizational simplification, real-estate consolidation, procurement savings and — explicitly — moving more work into its Global Capability Centers. Its GCC footprint is: Philippines, Hungary, and India.
The scale is significant: GCCs represented 11% of Xerox’s workforce at the beginning of 2026 and now represent about 15%. Management said the next phase goes beyond consolidation into standardization, automation and orchestration. It also described what has already generated savings: insourcing work from outsourced providers and moving work from different parts of the world into single centers.
Xerox says these GCCs will support structural cost improvements, technology-enabled productivity, outsourcing optimization and process standardization.