CEO SAHAB
Summary of the Article
AI Growth: The article highlights the significant growth of artificial intelligence (AI) in India, driven by the 2024-25 budget which includes various measures to boost the industry.
Key Challenges: It outlines challenges such as lack of clear regulatory guidelines, data privacy concerns, and the demand-supply gap for skilled AI professionals.
Government Support: The government is taking steps to support AI development through public-private partnerships, increased funding for research, and tax incentives for firms investing in AI R&D.
Market Size: India’s AI market size is projected to grow significantly, with financial metrics indicating a positive trend from 2022 to 2028.
Insights
Strategic Investment: Investing in AI infrastructure and addressing regulatory challenges can position India as a global leader in AI.
Talent Development: Bridging the talent gap through education and training programs is crucial for sustaining AI growth.
Public-Private Collaboration: Encouraging collaboration between the government and private sector can accelerate AI adoption and innovation.
Several sectors in India are leading the way in AI adoption. Here are some of the key sectors:
1. Pharma and Healthcare
AI Adoption Rate: 52%
Applications: Drug discovery, personalized medicine, predictive analytics, and patient care.
2. Fast-Moving Consumer Goods (FMCG) and Retail
AI Adoption Rate: 43%
Applications: Supply chain optimization, customer behavior analysis, inventory management, and personalized marketing1.
3. Manufacturing
AI Adoption Rate: 28%
Applications: Predictive maintenance, quality control, process automation, and supply chain management.
4. Infrastructure and Transport
AI Adoption Rate: 20-22%
Applications: Traffic management, smart city initiatives, logistics optimization, and autonomous vehicles.
5. Media and Entertainment
AI Adoption Rate: 10-12%
Applications: Content recommendation, audience analysis, automated video editing, and personalized advertising.
6. Banking, Financial Services, and Insurance (BFSI)
Applications: Fraud detection, risk management, customer service chatbots, and personalized financial advice.
7. Energy and Utilities
Applications: Smart grids, energy consumption forecasting, predictive maintenance, and renewable energy management.
8. Telecom
Applications: Network optimization, customer service automation, predictive maintenance, and personalized services.
These sectors are leveraging AI to enhance efficiency, improve customer experiences, and drive innovation.
Current and Future Market Size of AI
Global AI Market
2024: The global AI market is projected to reach approximately $184 billion.
2030: It is expected to grow significantly, reaching around $1,811.75 billion.
India AI Market
2024: The AI market in India is projected to be about $6.26 billion.
2030: It is expected to grow to approximately $28.36 billion.
Growth Rates
Global CAGR: The global AI market is expected to grow at a compound annual growth rate (CAGR) of around 36.6% from 2024 to 2030.
India CAGR: The AI market in India is projected to grow at a CAGR of 28.63% from 2024 to 2030.
These projections highlight the rapid expansion and significant potential of AI both globally and in India.
