India’s Artificial Intelligence Market Set to Reach $17 Billion by 2027
India’s artificial intelligence market is poised for significant growth, with projections indicating a substantial increase to $17 billion by 2027. According to a joint report by IT industry body Nasscom and consulting firm BCG, the market is expected to grow at an annualized rate of 25-35 percent between 2024 and 2027.
Key factors driving this growth include a rise in enterprise tech spending, an expanding AI talent pool in the country, and increased investments in AI technology. Currently, India boasts over 420,000 employees in AI job functions, showcasing the nation’s high level of skills penetration in this field.
The report, which surveyed more than 65 respondents from various tech companies, business process management firms, and global capability centers, highlights the significant investments being made by IT companies in training their employees, supporting startups, and enhancing capabilities in emerging technologies.
Notably, Wipro announced a $1 billion investment in AI over three years, reflecting the industry’s commitment to leveraging artificial intelligence. As investment in AI continues to rise, the demand for AI talent in India is projected to grow at an annualized rate of 15 percent until 2027. The report also notes that 90 percent of the top 25 technology service providers have made substantial commitments to upskilling in Gen AI.
With a focus on nurturing talent, fostering innovation, and driving technological advancement, India’s AI market is on a robust growth trajectory. As companies across various sectors embrace AI solutions, the country is poised to become a global leader in artificial intelligence technology.
