Artificial Intelligence (AI) is more than just a technological buzzword; it’s a dynamic force poised to reshape economies globally. By 2030, AI is predicted to boost the global economy by an astonishing ₹1,303.1 trillion (source: investindia.gov.in), potentially outstripping the combined current GDPs of economic giants like India and China.
India, in particular, is emerging as a central player in this AI-driven transformation. With the third-largest AI talent pool worldwide and an investment growth at an impressive annual rate of 30.8%, expected to hit ₹73.12 billion in 2023, the stage is set for India to lead significant advancements in this field. The market is expected to grow at an annual rate of ₹521.24 billion by 2030.
In this blog post, I’ll dive deep into the transformative impact of AI across various Indian industries. AI’s integration into sectors such as healthcare, finance, and retail is not just improving efficiencies but is revolutionizing how businesses operate and make decisions.
Join us as I explore the latest statistics and trends that paint a comprehensive picture of AI’s role in India, offering insights into both its current achievements and immense potential.
But before we jump onto the Key AI Statistics in India, let’s see what exactly AI is.
Artificial Intelligence (AI) is a branch of computer science dedicated to building smart machines capable of tasks usually done by humans. It’s transforming industries like automation, healthcare, finance, and transportation by enhancing human abilities and allowing machines to perform complex tasks efficiently and on their own.
AI Statistics in India for 2024: Key Statistics and Highlights
India’s AI investment is projected to reach ₹978.74 billion by 2025, potentially boosting the GDP by nearly ₹41,500 billion.
Boasting the world’s second-largest AI talent pool (420,000), India is poised for AI job creation, with estimates suggesting nearly 20 million new positions by 2025 across various sectors.
India ranks third globally in AI research with significant AI skill growth, and an IBM report shows that 60% of IT professionals work in companies already using AI applications.
AI is transforming Indian healthcare. The AI diagnostics market is expected to explode from ₹1.64 billion in 2022 to ₹19.92 billion by 2030. This aligns with growth in drug discovery using AI, projected to exceed ₹334 billion by 2027.
Comparing the AI market size of India with the global market size.
Mapping the AI Terrain: Global AI Statistics for 2024
- Global AI Market: Expected to grow from approximately ₹19.6 trillion in 2023 to nearly ₹60 trillion by 2030, with a compound annual growth rate of 17.3%.
- Global GDP Contribution: AI is expected to contribute around ₹1270 trillion by 2030, which marks a 14% increase (equivalent to the current economic output of China and India combined).
- Regional GDP Boosts: The largest benefits are projected for China (26% increase by 2030) and North America (14.5% increase), totaling approximately ₹867 trillion (nearly 70% of the global AI impact).
- Job Displacement and Creation: AI is expected to displace 85 million jobs but create 97 million new ones by 2025, resulting in a net increase of 12 million jobs.
- Self-Driving Cars: 10% of vehicles are expected to be driverless by 2030; the market is projected to grow from approximately 16.4 million units to 50.5 million.
- Generative AI: Estimated economic impact of ₹210 trillion to ₹356 trillion across various industries.
- Technology Adoption: Over 75% of companies plan to adopt AI, big data, and cloud computing within the next five years.
- Current Business Usage: Over 48% of businesses are using AI to optimize big data usage.
- IT Expenditures: Global expenditures on IT products and services focused on AI are expected to grow by 26.5% in 2026, surpassing ₹24.3 trillion.
My Take on Global AI Statistics for 2024
In my opinion, the rapid expansion of the global AI market is indeed striking. This growth not only underscores a world increasingly driven by AI but also emphasizes the crucial role of policy-making and education.
These elements are critical for shaping a future where the benefits of AI are maximized, equitably distributed, and accessible to all. Understanding the trajectory of AI development on both global and regional scales is key to ensuring responsible implementation.
For instance, sifting through the best AI tools in India in 2024 can provide valuable insights into how AI is being leveraged for positive social and economic impact.
How do AI Statistics in India Compare to Global AI Statistics?
The following table compares the Global AI statistics with AI statistics in India. Please note that some global AI statistics are projections or estimates and may not have direct comparisons for India due to missing data (N/A).
| Statistic | AI Around the Globe | AI in India |
|---|---|---|
| Market Size (2023-2030) | ₹19.6 trillion – ₹60 trillion (CAGR 17.3%) | Not Available |
| GDP Contribution (2030) | ₹1270 trillion (14% increase) | ₹41,500 billion |
| Regional Boost (2030) | China (26%), North America (14.5%) – ₹867 trillion | Not Available |
| Job Displacement/Creation (2025) | 85 million displaced, 97 million created (net +12 million) | 20 million created |
| Self-Driving Cars (2030) | 10% of vehicles | Not Available |
| Generative AI Impact | ₹210 trillion – ₹356 trillion | Not Available |
| Technology Adoption (Next 5 Years) | Over 75% of companies | Not Available |
| Current Business Usage | Over 48% using AI for big data | Not Available |
| IT Expenditures (2026) | ₹24.3 trillion+ (26.5% growth) | Not Available |
| AI Expenditure (2025) | Not Available | ₹978.74 billion |
| Investment in Innovation | Not Available | ₹63.29 billion (2020), ₹996 billion (projected 2025) |
| Investment Focus | Not Available | Digital content, data analytics, supply chain |
| AI Talent Pool | Not Available | 420,000 employees (2nd largest globally) |
| AI Job Growth | Not Available | 15% growth in prior year, 67% growth in AI engineers |
| AI & IoT Startups | 50% growth (2016-2019) | Not Available |
| AI in Manufacturing | 69% of repetitive tasks replaced by 2024 | Not Available |
| AI Adoption in Companies | 80% creating new AI roles | 60% of IT professionals report using AI applications |
| AI and Workplace Diversity | AI tools promise up to 40% bias reduction | 95% of employees believe AI improves workplace quality of life |
| AI Research Ranking | Not Available | 3rd globally |
Market Growth and Investment AI Statistics in India for 2024
- AI expenditure in India is expected to reach ₹978.74 billion by 2025.
- AI could add nearly ₹41,500 billion to India’s GDP by 2025.
- Significant investments are noted, with AI innovation startup funding in India at about ₹63,287.5 million in 2020 and AI expenditure expected to reach nearly ₹996 billion by 2025.
- Approximately 93% of investments by Indian tech services and product companies are directed toward enhancing digital content, data analytics, and supply chain capabilities.
- Agri-tech emerges as a key investment area within the AI sector, driven by agriculture’s significant contribution of over 18% to the Indian economy.
- There are about 400 AI and machine learning companies in India, with private investments amounting to approximately ₹12,450 million since 2016.
My Take on Market Growth and Investment AI Statistics in India for 2024
I strongly believe that the substantial growth in AI expenditure and investments reflects India’s strategic focus on fostering an innovative ecosystem. This not only enhances the economic output but also positions India as a global contender in AI technologies.
To stay ahead of the curve, testing the best AI generator tools in India for 2024 can be a valuable exercise. These tools can empower businesses and individuals to leverage the power of AI for content creation, data analysis, and a variety of other tasks.
Employment and Industry Impact Statistics of AI in India for 2024
- AI is anticipated to create nearly 20 million jobs by 2025 across various sectors like software development and maintenance.
- India has the second largest AI talent base globally, with 420,000 employees working in AI job functions.
- The technology industry in India has seen more than 15% growth in AI/ML jobs over the past year, with AI engineer positions alone growing at a 67% annual rate.
Growth trend of AI & IOT startups and the increasing trend of AI/ML engineering jobs
- AI and IoT startups grew by 50% from 2016 to 2019.
- AI is expected to replace 69% of repetitive tasks in manufacturing by the end of 2024.
- About 80% of companies are proactively working to incorporate new AI-specific roles across the organization.
- AI tools promise up to 40% bias reduction, helping to increase diversity within teams.
- 95% of Indian employees believe that AI in the workplace can improve their quality of life.
- Bengaluru is recognized as the leading city for AI-related job opportunities in India, accounting for about 22% of all AI jobs in the country.
- Every year, India experiences around 50,000 job vacancies in artificial intelligence and data science due to a shortage of qualified talent.
Comparing the number of jobs AI will create by 2025 and the number of talented AI personnel that India produces.
My Take on Employment and Industry Impact Statistics of AI in India for 2024
I think AI’s integration into various sectors is catalyzing a shift towards more specialized job roles. Although AI displaces routine jobs, it simultaneously creates new opportunities, demanding upskilling and reskilling of the workforce.
This presents a unique chance to leverage AI as a powerful collaborator. Trying out the best AI productivity tools in India in 2024 can equip professionals with the skills to navigate this evolving landscape and unlock new levels of efficiency.
AI Adoption Rate and Skills Statistics in India for 2024
- India ranks third globally in AI research, with significant growth in AI skills over the past seven years.
- According to an IBM report, about 60% of IT professionals in India report their organizations use AI applications.
- According to reports, 65.5% of companies in India believe that AI is crucial in helping them achieve a competitive advantage in their industries.
- Some organizations are allocating ₹83 billion over the next three years dedicated to upskilling.
- According to an IBM report, Chinese and Indian companies lead in AI adoption globally.
- India ranks among the top five nations with a 14-fold growth in individuals skilled with AI in the last 7 years.
India’s ability to produce individuals skilled with AI has increased 14-fold in the last 7 years from 2016-2023 and still shows and upward trend.
While diving into the statistical insights of AI’s capabilities, it’s equally important to address what’s missing in AI?. This exploration can provide a more comprehensive understanding of AI’s limitations and areas for improvement.
My Take on AI Adoption Rate and Skills Statistics in India for 2024
I believe India’s prominent role in global AI adoption underscores its significant strides and dedication to incorporating AI across multiple sectors. This commitment establishes India as a pivotal influencer in shaping future AI trends and developments internationally.
The rapid rise of AI writing tools exemplifies this dedication. Analyzing the best AI writing tools in India for 2024 can offer valuable insights into how AI is being harnessed to enhance content creation and communication across various industries.
However, to sustain this momentum and foster ongoing innovation, India must prioritize education and training initiatives. Cultivating a skilled talent pool alongside rapid AI adoption is crucial for India’s AI-driven transformation.
Sector-Specific AI Development Statistics in India for 2024
- The AI in healthcare diagnostics market in India is expected to grow from ₹1.64 billion INR in 2022 to ₹19.92 billion by 2030.
An exponential growth trend of AI in the healthcare diagnostics market in India is expected to reach almost ₹20 billion by 2030.
- By 2027, the integration of AI into drug discovery is anticipated to exceed $4 billion, growing at an annual compound rate of 45.7%.
- Health expenditure per person grew from ₹5002.41 in 2018 to ₹5291.25 in 2019, reflecting incremental growth in healthcare investments.
- Automotive: AI adoption in the Indian automotive industry is expected to rise by 152% in the next five years.
- Real Estate: The sector anticipates an 18.7% CAGR from 2020 to 2030, with AI and ML predicted to be frequently used.
- Semiconductor Industry: The growing semiconductor industry in India is set to be a major support for the AI market, projected to be valued at ₹647.4 billion by 2025.
- India’s NITI Aayog has set a plan to integrate AI into 9% of the country’s industries by 2025.
- More than 70% of companies have AI partnerships, predominantly with GenAI and cloud partners.
- 32% of companies in India are planning to implement AI technologies specifically to enhance their customer service and support functions.
The AI adoption rate of the Indian automotive industry is projected to increase at an exponential rate till 2028.
My Take on Sector-Specific AI Development Statistics in India for 2024
AI is revolutionizing healthcare, particularly diagnostics, leading to efficiency gains and improved patient outcomes. India’s shift towards data-driven, predictive healthcare reflects the global trend of precision medicine.
Beyond diagnostics, AI video tools are changing communication. Diving into the best AI video tools in India for 2024 can reveal their use in creating patient education materials, conducting remote consultations, and personalizing treatment plans through visual storytelling.
Furthermore, AI’s integration into specific sectors, like automotive and real estate, is revolutionizing traditional industries. We see how it enhances efficiency and improves predictive capabilities, facilitating the development of innovative and sustainable solutions. This transformation is not just a technological shift but a fundamental change in how industries operate and deliver value.
India: A Rising Star in the Global AI Race
India’s AI revolution is in full swing. Booming with a skilled workforce, government backing, and hefty investments, the country is poised for AI leadership. AI statistics in India reveal a thriving market, massive investments, and a world-class talent pool.
This translates to a wave of new jobs across industries. From healthcare to automotive, AI is transforming sectors, boosting efficiency, decision-making, and innovation.
However, responsible development is paramount. Addressing potential biases and ethical concerns is crucial for AI to benefit all.
The future of AI in India gleams with potential. Continued investment, research, and ethical frameworks will ensure AI benefits society as a whole. By embracing AI responsibly, India can leverage this powerful technology to reshape its economy, industries, and overall well-being.
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References
| Prnewswire | Thehindu | Timesofindia |
| Cmrindia | Roboticsbiz | IDC |
| Businesstoday | Pwc | Inc42 |
| Investindia | Statista | Thehindubusinessline |
