According to an Intel-IDC analysis on Tuesday, national spending on artificial intelligence (AI) might triple to USD 5 billion by 2027.
The research states that in 2023, firms in India invested USD 1,703.8 million in AI.
“From 2023 to 2027, India’s AI spending is projected to reach USD 5 billion, growing at a compound annual growth rate (CAGR) of 31.5%. AI will be widely used by 2027, according to Sharath Srinivasamurthy, Associate Vice President of IDC.
He stated that providing AI infrastructure and associated software was the primary driver of the USD 209 million in major spending in 2023.
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The next highest amounts were for digital assistance (USD 113.1 million), augmented threat intelligence (USD 100.1 million), program advisor recommendation systems (USD 97.1 million), and augmented customer service agents (USD 168.8 million).
“Infrastructure provisioning will continue to be the biggest contributor to overall spending,” said Srinivasamurthy.
India is prepared for artificial intelligence (AI), according to Santhosh Viswanathan, vice president and managing director of Intel India Region. The nation produces 20% of the world’s data and is the third-largest market globally.
According to Viswanathan, India is the world leader in the availability of technical skills.
Aside from infrastructure, increased staff productivity and improved customer experience are the main focus areas for AI adoption. This allows workers to concentrate on higher-value jobs by eliminating repetitive, time-consuming work.
In addition, the government has set aside about $30.7 million to establish three AI centres of excellence in the fiscal year 2024–2025. These centres will focus on sustainable cities, health, and agriculture, to develop ground-breaking artificial intelligence solutions and address particular issues in these fields.
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The research showcases India’s AI capabilities and highlights the country’s top spot in terms of skill penetration, with over 420,000 workers already employed in AI-related roles.
