The Rise of the Robots and its Impact on India’s Economy

It is obvious that robots are playing an increasingly critical role in the lives of people. One finds robots in manufacturing, in serving people in restaurants, as receptionists, as nurses, as firefighters and even as soldiers. As we all know, not all robots look like humans (i.e. they are not humanoids). And hence we often tend to miss out the robots that have slowly but surely penetrated into almost every aspect of our lives.

There are a large number of areas where India would need help with robotics. For example, it will take us considerable time to have the large number of high-quality teachers, needed to educate the large number of the young population that we have, in order to leverage the demographic dividend. It will be too late if we develop teachers in the traditional manner.

They have been encroaching in manufacturing work for decades and now making literal inroads into tasks like driving, logistics, and inventory management. While there may be a negative effect on some labor segments, robots and automation increase productivity, lower production costs, and can create new jobs in the tech sector.

AI and robots to play a crucial role in achieving India's Vision for 2025

Data and Artificial intelligence could add $450-500bn to India's GDP by 2025. Close to 45% of this value is likely to be delivered by 3 sectors: consumer goods and retail, agriculture and banking and finance. In the agricultural sector, Artificial Intelligence can help double farmers' income through improved production planning and yield. While in the BFSI sector, AI can assist in financial risk modeling and credit underwriting, in the consumer goods and retail sector, it can provide personalized campaigns and targeted marketing.