A recent report reveals that 94% of Indian companies are using generative AI (GenAI) in at least one business function, the highest rate globally. However, challenges persist, with just 24% of respondents claiming their GenAI systems are production-ready. Key issues include high costs, insufficient skills, governance problems, and quality control. Despite these obstacles, over 70% of businesses consider AI essential for long-term success. The Indian AI market is expected to reach $17 billion by 2027, driven by a rapid increase in GenAI adoption.
India’s AI landscape is growing rapidly, with AI applications in customer service, fraud detection, and healthcare. However, businesses are struggling to implement AI solutions that meet their specific needs. According to the report, 86% of Indian businesses believe that natural language will become the primary way non-technical employees interact with complex datasets within the next three years.
The rise of GenAI in India marks a shift in how companies are adopting AI for business solutions, but the road to seamless implementation is still fraught with challenges. As businesses push toward more advanced AI systems, scaling AI efforts to deliver measurable, transformative results will require overcoming technical, operational, and financial barriers.
This development comes at a time when India’s AI market is growing at an impressive rate of 25-35% annually. Despite the increasing adoption, businesses are struggling to deliver the specific, high-quality AI results needed to accelerate growth, making the journey toward full GenAI integration both ambitious and complicated.
