According to NASSCOM, India is one of the largest talent centers for AI, with a growing number of STEM graduates and digital natives.
According to NASSCOM, India is one of the largest talent centers for AI, with a growing number of STEM graduates and digital natives.
To track regional progress on AI adoption in the country, NASSCOM in association with EY and backed by Microsoft, EXL and Capgemini, on Thursday launched the “AI Adoption Index”.
The index was the first comprehensive assessment of AI adoption trends in India, beginning with four key sectors: banking, financial services and insurance (BFSI), consumer packaged goods (CPG), retail, healthcare, and industry and automotive, who could contribute cumulatively. Nasscom said in a media conference that more than 60 per cent of the potential value of AI will add to the country’s GDP by $450-500 billion by 2025.
The apex body said that global investment in AI has more than doubled in the past few years, from $36 billion in 2020 to $77 billion in 2021. However, the current rate of AI investment in India was growing at a CAGR of 30.8%. And poised to reach $881 million by 2023, this will still represent only 2.5% of the total global AI investment of $340 billion.
This will mean that there will be a huge opportunity for Indian enterprises to accelerate investment and promote equitable growth across all sectors for the adoption of AI.
Debjani Ghosh, President, Nasscom said, “The true value of AI in this techday emerges from its ability to transition from technology capability to technology impact. The pandemic has made it easier for organizations to move beyond data and technology silos with a structured data usage strategy. This has made it absolutely critical to build specialized AI capabilities in joint areas.
He further added that the first of its kind AI Adoption Index will not only provide necessary benchmarks for organizations on AI maturity, but will also help in taking important structural steps to realize the potential of AI for real national value.
India Global Hub of AI Talent
According to NASSCOM, India is one of the largest talent centers for AI, with a growing number of STEM graduates and digital natives.
The country is currently the second largest global center for training and recruiting AI talent. However, the rapid growth in AI applications has led to an increase in recruitment for AI professionals. While the talent pipeline has grown over the past two years, the rapid boom in talent demand has led to a supply-demand gap.
In addition, companies are increasingly relying on contract and gig models, focusing on building internal AI talent through reskilling and upskilling. Organizations are also investing in research talent in specialized academic institutions. According to the index, 44% of businesses already have a dedicated or cross-functional AI team structure, while 25% rely entirely on outsourcing as their primary source for AI talent.