80% of Indian Firms Consider AI a Key Strategic Focus: Report

Synopsis

A recent report reveals that India stands out as a leader in AI adoption, with 80% of companies prioritizing AI strategies, exceeding the global average of 75%. Furthermore, 69% plan to boost tech investments by 2025, with a significant focus on cybersecurity and regulatory challenges.

Key Takeaways

80% of Indian companies prioritize AI as a strategic focus.
69% will increase tech investments in 2025.
Only 10% expect workforce reductions from AI.
81% call for improved AI cybersecurity measures.
54% cite regulatory hurdles affecting AI adoption.

New Delhi, Jan 15 (NationPress) India has emerged as a frontrunner in the realm of artificial intelligence (AI) implementation, with 80 percent of enterprises recognizing AI as a crucial strategic priority—significantly surpassing the global average of 75 percent, as indicated in a report released on Wednesday.

Approximately 69 percent of Indian businesses plan to enhance their technology investments by 2025, with one-third dedicating over $25 million towards AI projects, according to the report from Boston Consulting Group (BCG).

Moreover, fewer than 10 percent of Indian executives anticipate a reduction in workforce due to AI-driven automation, the report highlighted.

“This resonates with the country’s ambitious digital transformation agenda. In this context, 69 percent of Indian organizations intend to boost their tech investments in 2025, with one-third pledging over $25 million for AI initiatives,” stated Nipun Kalra, India Leader, BCG X, BCG.

About 81 percent of Indian firms recognize the necessity for substantial advancements in AI-related cybersecurity measures, which is essential given the growing intricacy of AI applications.

“Notably, Indian organizations are also leveraging AI for high-impact applications, focusing significantly on redefining workflows and creating new business models, thereby positioning India as an innovator in this domain,” Kalra remarked.

While 76 percent of Indian executives acknowledge the pressing need for enhancements in AI cybersecurity measures, 54 percent point to regulatory hurdles as a significant factor hindering AI adoption.

Globally, only 7 percent of executives expect that AI automation will result in a net reduction in workforce.

“Through my conversations with CEOs, it is evident that they are prioritizing AI to enhance productivity,” noted Christoph Schweizer, CEO of BCG.

“Top AI adopters have successfully discovered how to generate impact by concentrating on a select range of AI initiatives, scaling them swiftly, transforming fundamental processes, upskilling their personnel, and consistently evaluating operational and financial outcomes,” Schweizer added.