Artificial Intelligence and India’s Global Race
Artificial Intelligence and India’s Global Race
Artificial Intelligence (AI) has rapidly transformed from a futuristic concept into a defining force of the 21st century. Nations across the globe are racing to harness AI to secure economic competitiveness, military advantage, and social progress. India, with its vast population, digital infrastructure, and expanding technological base, stands at a crucial juncture in this global contest. The recent discussions on Surrokar (Sansad TV) emphasized India’s growing role in AI, underlining both opportunities in sectors such as healthcare, education, agriculture, and finance, and challenges of regulation, ethics, and research depth. For India, the central question is whether it can position itself as a creator of AI innovations or remain merely a consumer of technologies developed elsewhere.
India’s Position in the Global AI Race
The Government of India has taken deliberate steps to strengthen the country’s AI ecosystem. The launch of the India AI Mission, with an outlay of ₹10,372 crore, reflects a strong policy push towards building infrastructure, compute power, and research capabilities. This mission also aims to democratize AI access for small businesses, researchers, and students.
India enjoys certain natural advantages. With over a billion smartphone users and 20 billion monthly UPI transactions, the country is one of the most digitally connected societies in the world. Such large-scale digitization generates valuable data, the backbone of AI innovation.
However, when compared to global leaders, India still faces a funding gap. For instance, in 2024, China invested close to $30 billion and the United States $20 billion into AI research and development. India’s investments, though significant domestically, appear modest on this global scale.
Another strength is India’s talent pool. With around 18 million software engineers, India produces one of the largest numbers of tech professionals. Additionally, AI has been introduced into school curricula, laying the foundation for a digitally skilled generation. Yet, the country lacks the same depth of high-quality AI researchers, which limits its global leadership potential.
Opportunities of AI for India
Despite gaps, AI presents India with transformative opportunities across critical sectors:
Healthcare Revolution
AI applications in healthcare can dramatically improve outcomes in a country where doctor-patient ratios remain low. AI-assisted diagnostics help detect diseases like cancer in early stages, while telemedicine platforms powered by AI can connect rural patients with specialists. Predictive models may also forecast epidemics, enabling authorities to prepare responses before outbreaks escalate. Personalized treatment, tailored through AI analysis of genetic and lifestyle data, could improve efficiency in healthcare delivery.
Education Transformation
India’s diversity of languages often acts as a barrier in education. AI tools like the Bhashini project promise real-time translation, both in Parliament and in classrooms, reducing linguistic divides. Ed-tech platforms use AI-driven personalized learning systems, enabling students to receive lessons in their local dialects, adapted to their pace and needs. This can potentially democratize quality education and bridge urban-rural gaps.
Agricultural Productivity
AI is becoming vital in India’s predominantly agrarian economy. Precision farming techniques, where AI analyses soil and weather data, can help farmers make informed decisions about irrigation, fertilizer use, and crop selection. Moreover, AI-based advisory systems can alert farmers about impending droughts or floods. In states like Odisha, cyclone prediction models powered by AI have already saved thousands of lives and protected livelihoods.
Financial Inclusion
India’s success with UPI showcases how technology can leapfrog barriers to financial inclusion. By integrating AI with digital payments, services like “Hello UPI” enable even semi-literate users in rural areas to transact easily. AI also assists in fraud detection and credit scoring, giving underserved populations access to loans and financial services.
Disaster Management and Climate Response
AI applications extend to disaster prediction and response. Geospatial mapping powered by AI enables authorities to identify flood-prone areas, monitor deforestation, and plan evacuations. Such tools are invaluable in a climate-vulnerable country like India.
Challenges in India’s AI Ecosystem
While opportunities abound, systemic challenges hinder India’s AI journey.
Infrastructure Deficit
AI requires advanced computing infrastructure, particularly GPUs and supercomputers. India suffers from delays in accessing these resources, limiting the capacity of researchers and start-ups to innovate. Data centres are expanding but remain insufficient compared to the scale needed for global competitiveness.
R&D and Innovation Gaps
India’s contribution to global AI research is relatively modest. Currently, India accounts for only 1.4% of global AI research papers, and less than 2% of AI-related PhDs worldwide. This lack of cutting-edge research stifles innovation and leaves India dependent on imported technologies.
Ethical and Regulatory Frameworks
India continues to rely on the IT Act of 2000 to govern its digital space, a law outdated in the era of generative AI. Concerns over privacy violations, lack of accountability, and mental health risks from excessive chatbot usage highlight the need for robust regulation. Without an ethical framework, misuse of AI could erode trust in technology.
Talent Bottlenecks
Although India has a large base of software professionals, most AI-related training is limited to certificate courses that impart surface-level skills. The shortage of high-quality AI researchers and professors undermines the capacity to train the next generation of innovators.
Geopolitical Competition
Globally, the US, EU, and China have surged ahead with innovations in large language models (LLMs) and other advanced AI tools. If India fails to scale up, it risks being relegated to the role of a market for AI solutions rather than a producer.
Way Forward for India
To establish itself as a serious player in the AI race, India must adopt a multipronged approach:
Strengthening R&D Ecosystem
India must significantly increase its investments in fundamental AI research, going beyond application-level projects. Encouraging start-ups and private enterprises through tax incentives and grants can foster innovation.
Building Human Capital
AI education needs to move beyond elite institutions such as IITs. Expanding AI training across state universities and polytechnics will democratize expertise. Equally important is the training of teachers and professors, ensuring they possess deep knowledge to mentor students effectively.
Policy and Regulation
A new Digital India Act, accompanied by an AI-specific regulatory framework, is essential. India should strike a balance between encouraging innovation and safeguarding citizens from misuse. Developing an India-specific ethical charter, drawing inspiration from the EU AI Act, will ensure technology remains aligned with societal values.
Public-Private Partnerships
The government, industry, and academia must collaborate to create AI innovation hubs in fields like healthcare, agriculture, and sustainability. Such partnerships can accelerate research while ensuring practical deployment.
Global Engagement
AI is not just a national project but a global enterprise. India should actively collaborate in international projects such as ITER (fusion) or STEP (UK), and apply the same model to AI. Through platforms like the G20 and BRICS, India can position itself as a responsible AI power, emphasizing ethical use and equitable access.
Conclusion: Striking a Balance Between Ambition and Ethics
India’s journey in the global AI race is both inspiring and challenging. With its digital strength, large talent pool, and strong policy intent, the country has the ingredients to emerge as a leader. At the same time, systemic gaps in research, infrastructure, and regulation could restrict India to being a consumer rather than a creator of AI innovations. The task ahead is to ensure that AI’s transformative potential in healthcare, education, finance, and agriculture is harnessed while addressing ethical and governance concerns. If India successfully balances ambition with responsibility, it can not only catch up in the global AI race but also shape the future of technology in an inclusive and ethical manner.