New Delhi, Nov 16 (NationPress) The landscape of enterprise AI in India has reached a pivotal moment, with nearly half of Indian enterprises (47 percent) now operating multiple live Generative AI (GenAI) use cases, while 23 percent are still in the pilot phase. This marks a significant transition from pilots to actual performance, according to a report released on Sunday.

Indian businesses exhibit a robust confidence in integrating AI into their core workflows, aiming for tangible outcomes.

A striking 76 percent of business leaders believe GenAI will profoundly impact their businesses, while 63 percent feel prepared to utilize it effectively, as per a joint report from EY and the Confederation of Indian Industry (CII).

"Our survey indicates that corporate India is moving beyond just experimentation. Almost half of the enterprises have multiple use cases already in production," stated Mahesh Makhija, Partner and Technology Consulting Leader at EY India.

He further emphasized that the priority for enterprises should shift from developing pilots to creating processes where human and AI agents work together seamlessly.

Despite the optimism surrounding AI, investments in AI and machine learning (ML) remain relatively modest. More than 95 percent of organizations allocate less than 20 percent of their IT budgets to AI, with only 4 percent exceeding that threshold. This reveals a gap between belief in AI's potential and the financial commitment to scaled transformation.

The report highlighted a significant disparity between conviction and commitment, which is crucial for how quickly enterprises can achieve measurable returns from AI initiatives.

As companies operationalize AI, the return on investment has become a central concern.

The study pointed out that enterprises are shifting away from evaluating AI success solely based on cost savings and productivity metrics. Instead, they are adopting a five-dimensional ROI model that includes time saved, efficiency improvements, business growth, strategic differentiation, and resilience.

Additionally, speed has emerged as a new competitive advantage metric in AI adoption.

A remarkable 91 percent of business leaders cited rapid deployment as the primary factor influencing their decisions on whether to buy or build AI solutions, highlighting a growing urgency to convert innovation into tangible impact.

In the coming year, organizations are expected to direct their GenAI investments towards operations (63 percent), customer service (54 percent), and marketing (33 percent), showcasing a clear shift from experimentation to embedding AI in essential business functions that drive efficiency, customer experience, and growth.

“The next decade will not only be characterized by the rapid pace of AI adoption but also by how well it is integrated into India’s economic and social framework. This transformation holds the promise of adding significant value to India's growth narrative,” remarked Chandrajit Banerjee, Director General of CII.