Are Indian Companies the Most Optimistic About AI Returns?

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Are Indian Companies the Most Optimistic About AI Returns?

Synopsis

A recent report highlights that a staggering 93% of Indian businesses are confident in achieving positive returns from their AI investments in just three years, the highest among countries surveyed. With significant investments and a booming talent pool, India is poised to lead the global AI revolution.

Key Takeaways

  • 93% of Indian firms expect positive AI returns in 3 years.
  • Average AI ROI is forecasted to reach 31% by 2027.
  • Indian businesses are investing $31 million in AI this year.
  • Investment in AI is expected to rise by 33% over the next two years.
  • India boasts 16% of the global AI talent pool.

New Delhi, Nov 24 (NationPress) Approximately 93 percent of Indian enterprises anticipate positive returns from their artificial intelligence (AI) investments within a span of three years, showcasing the highest confidence level compared to all surveyed nations, according to a report released on Monday.

The analysis conducted by the German software giant SAP, in collaboration with Oxford Economics, indicates that Indian firms have already realized an average AI return on investment of 15 percent in 2025, which is projected to escalate to 31 percent in the next two years.

This year, Indian businesses are investing $31 million in AI—surpassing the $26.7 million global average—with particular focus on software, infrastructure, talent, and consulting.

Investment in AI within organizations is expected to increase by an average of 33 percent over the upcoming two years, which will likely boost ROI to 15 percent this year (averaging $5.7 million), projected to double to 31 percent ($15.3 million) in two years.

“AI is revolutionizing business operations, not only by automating tasks but also by enabling quicker, more intelligent decision-making across vital processes,” stated Philipp Herzig, Chief Technology Officer at SAP SE.

About 56 percent of Indian respondents expressed satisfaction with current ROI, and 58 percent expected AI initiatives to yield positive ROI faster than other technology investments—the highest globally.

With over 600,000 professionals, India constitutes 16 percent of the global AI talent pool, establishing itself as a prominent AI hub, remarked Sindhu Gangadharan, Managing Director of SAP Labs India and Head of SAP Customer Innovation Services.

“This wealth of digital talent allows enterprises to transition from pilot projects to substantial performance, integrating AI into decision-making, operations, and customer experiences,” she added.

The report is based on a survey involving 1,600 senior leaders from eight countries, including 200 respondents from India.

Point of View

It’s evident that India's robust investment in AI and its growing talent pool position the nation as a leader in technology innovation. The optimism reflected in this report underscores the potential for transformative growth in various sectors, propelling India to the forefront of the global AI landscape.
NationPress
24/11/2025

Frequently Asked Questions

What percentage of Indian companies expect positive AI returns?
Approximately 93 percent of Indian businesses anticipate positive returns from their AI investments within three years.
What is the projected ROI for Indian firms investing in AI?
Indian firms have reported an average AI ROI of 15 percent in 2025, expected to rise to 31 percent within two years.
How much are Indian businesses investing in AI this year?
Indian businesses are investing $31 million in AI this year, exceeding the global average of $26.7 million.
What is the forecast for organizational investments in AI?
Organizational investments in AI are projected to increase by 33 percent over the next two years.
How significant is India's AI talent pool?
India accounts for 16 percent of the global AI talent pool, with over 600,000 professionals contributing to this sector.
Nation Press