To date, India appears to lead among the highest users of emerging technologies of artificial intelligence (AI) compared to the world average level of this technology use, according to recent findings from Salesforce.
The report and findings from the Boston Consulting Group (BCG) note that 75% of Indian firms are integrating AI tools within their operations, roughly, and Bangladesh 64% in the global market average.
On this front, India has shown a more challenging trend toward digital transformation, spurred by technological advances such as AI and supported by proactive government policies.
The BCG finds that the adoption of AI in India extends beyond large firms to reach the small and medium-scale enterprises sector. The consultancy commented that Indian corporations are more inclined to embrace AI in their drive for operational efficiency and a competitive advantage in the global market.
BCG Senior Partner Rajat Mathur said, “India’s tech ecosystem is rapidly adopting AI technologies, with companies acknowledging the merit of data-driven decision-making.”
Although the National AI Strategy and Digital India have been initiated by the Indian government and are thought to be playing a significant role in accelerating AI adoption across all sectors, the entrepreneurial spirit has driven the AI innovation environment further.
With the experiment targeting specific areas such as health, education, agriculture, and finance, the government is keen on AI adoption. It has attracted investments, leading to a surge in venture capital funding for AI startups. With this set of changes, India has emerged as one of the fastest-growing markets for AI solutions globally.
Salesforce’s report stated that in India, using AI tools generally increases employee productivity. About 80% of AI-powered companies reported enhanced operational efficiency, primarily due to automation and AI analytics.
Indian companies are applying AI to automate repetitive tasks, freeing their employees to focus on strategic roles needing human insight. In addition, some 70% of Indian firms leverage AI for better decision-making, using predictive analytics and machine learning models to forecast market trends and consumer behavior.
The report conversely highlighted the growing emphasis on ethical AI practices in India. Because of greater attention to data privacy and algorithmic bias, about 60% of Indian companies began setting up frameworks for responsible use of AI.
This gesture corresponds to global standards and is a testament to India’s dedication to establishing a trustworthy AI ecosystem.
However, despite rapid growth, challenges still need to be addressed. There remains a long way to go, as skilled AI professionals are hard to come by due to the massive gap between demand and supply.
While India has advanced much in adopting AI, it must take proactive steps to face this challenge, employing targeted educational and vocational training to sustain the pace of advancement for Mathur from BCG.
In the future, we have promising prospects for AI in India as growth and innovation continue to be handed in for the years to come. India’s energizing tech ecosystem, supported by solid government impetus, presents it as a critical player in the global AI landscape.
As businesses continue investing in AI, India’s share in the global AI market is about to increase, contributing to growth in many economic facets and the industry’s function-wide transformation.
