Artificial Intelligence and India: A Comprehensive Overview

Over the last few years, the world has witnessed a robust upsurge in technology developments, especially in Artificial Intelligence. There is no doubt that the technology has the potential to transform businesses the way it is done earlier. Now, countries are focusing more on leveraging this tech to become and lead the race for AI supremacy across the globe. In India, there is a huge scope for AI as the country has been a growing hub for business and ranks among the most lucrative investment destinations for technology transactions worldwide. In recent times, the country has focused its interest more on technology, realising that it is a vital component of economic development. From enterprises, agriculture, and education to healthcare and transportation, AI can be a transformative technology for the country.  

AI Strategy for India

Considering reports, in just two years, AI is tipped to boost the rate of innovation in India by about 230%. In recent times, the country has been focusing on research but is still far from catching up with the world leaders. According to NITI Aayog’s discussion paper on AI “National Strategy for Artificial Intelligence”, a national AI strategy needs to be premised on a framework that is adapted to the country’s unique requirements and aspirations. Simultaneously, it is capable of accomplishing India’s full potential of leveraging AI developments. In an effort to make AI reality for India, in May this year, the NITI Aayog proposed a plan to develop an institutional framework. It has circulated a cabinet note to provide Rs 7,500 crore in funding, initially over a three-year period, for the creation of a cloud computing platform called AIRAWAT and research institutes and set up a high-level taskforce to oversee the rollout and implementation of AI in the country. From an economic impact perspective, AI has the ability to drive growth through automating multi-layered physical tasks that require adaptability and agility across industries. It is also enabling the human workforce to focus on their role that can add the most value, complementing human capabilities and improving capital efficiency. In its recent AI research report, Accenture provides a framework for assessing the economic impact of AI for select G20 countries and predicts the technology to expedite India’s annual growth rate by 1.3 percentage points by 2035. The technology has the potential to add US$957 billion, growing with 15 percent of India’s current gross value in the same year, the report noted. NITI Aayog has also gauged a large number of sectors, in its national AI strategy document, where AI can be effective and has taken a conscious decision to focus on a select set of sectors where only private sector-led initiatives will not lead to achieving desired societal outcomes. The focus sectors include Education – preparing next generation to leverage the global AI revolution to India’s advantage; Smart Cities and Infrastructure – solving for India’s rapidly urbanising population; and Smart Mobility and Transportation – solving challenges like congestion, pollution, high rates of road accidents leading to economic inefficiency and massive human cost.  

India’s Standing in the World AI Developments

By developing and deploying AI, countries all over the world are becoming more aware of the potential economic and social benefits. With AI-related activities and businesses, China and U.K. foresee 26% and 10% growth in their GDPs, respectively. As China has established itself among the world leaders in AI-based technologies through its rapid advancements, India also felt the pressure to continue rapid advances in AI. China also aims to foster an AI industry that will be worth 1 trillion RMB, and with its related industries to be worth over 10 trillion RMB by 2030. In recent years, the UAE has also become identical with advancement and futuristic development. In October 2017, the UAE Government launched the nation’s first AI strategy, marking a new level of innovation built on Smart Government. With this strategy, the government aims to achieve the objectives of UAE Centennial 2071, boost government performance at all levels, leverage an integrated smart digital system that can overcome challenges and provide quick efficient solutions, make the UAE the first in the field of AI investments in various sectors, and create new vital market with high economic value.  

Unlocking Progress Towards AI

In the area of core research publications in AI, India ranks third in the world, with 12,135 documents, lag behind China with 37, 918 documents and the US with 32,421 documents. Conversely, India stands at rank 9 in terms of the number of AI specialists, with 555 as 22,400 people worldwide were regarded as the top talent of AI. Among these AI experts, nearly 50 percent belonged to the US with the number of 10,295, followed by China with 2,525 and the UK, Germany, and Canada with 1,457, 935 and 815, respectively.