AI could add $1.7 trillion to India’s economy by 2035: Govt
The Indian economy is poised to receive a significant boost from the adoption of Artificial Intelligence (AI), with the government estimating that AI could add a staggering $1.7 trillion to the country’s economy by 2035. This revelation was made by the government on Tuesday, highlighting the vast potential of AI to transform and drive growth in the Indian economy.
The government’s statement comes at a time when India is rapidly emerging as a hub for AI innovation, with a growing number of startups and businesses leveraging AI to develop new products and services. According to the government, over ₹10,300 crore has been allocated over a period of five years under the IndiaAI Mission, a initiative aimed at promoting the development and adoption of AI in the country.
As part of the IndiaAI Mission, the government has also deployed 38,000 Graphics Processing Units (GPUs) so far, which are essential for training and running AI models. This infrastructure will enable researchers, startups, and businesses to develop and deploy AI solutions, driving innovation and growth in the economy.
The impact of AI on the Indian economy is already being felt, with nearly 89% of new Indian startups launched last year using AI in their products or services. This trend is expected to continue, with AI becoming an increasingly important component of the Indian startup ecosystem.
The government’s estimate of AI adding $1.7 trillion to the Indian economy by 2035 is based on a study that takes into account the potential impact of AI on various sectors, including healthcare, finance, education, and manufacturing. The study suggests that AI could lead to significant productivity gains, improved efficiency, and enhanced decision-making, resulting in increased economic output and growth.
The adoption of AI is also expected to have a positive impact on employment, with the government estimating that AI could create over 100,000 new jobs in the country by 2025. This is in contrast to concerns that AI could lead to job losses, with many experts arguing that while AI may automate some tasks, it will also create new job opportunities in areas such as AI development, deployment, and maintenance.
The Indian government has been actively promoting the development and adoption of AI, with several initiatives aimed at creating a favorable ecosystem for AI innovation. These initiatives include the establishment of AI research centers, funding for AI startups, and the development of AI-related skills and training programs.
The government’s efforts to promote AI are paying off, with India emerging as a major hub for AI innovation. The country is home to a growing number of AI startups, with many of these startups developing innovative solutions in areas such as healthcare, finance, and education.
The use of AI in healthcare, for example, is expected to revolutionize the way medical services are delivered in India. AI-powered systems can help doctors diagnose diseases more accurately, develop personalized treatment plans, and improve patient outcomes. Similarly, AI is being used in finance to develop more accurate credit scoring models, detect fraud, and improve customer service.
In education, AI is being used to develop personalized learning platforms, intelligent tutoring systems, and automated grading systems. These solutions have the potential to improve learning outcomes, increase access to education, and reduce the burden on teachers.
The adoption of AI is also expected to have a significant impact on the Indian manufacturing sector, with AI-powered systems being used to improve efficiency, reduce waste, and enhance product quality. The use of AI in manufacturing is also expected to lead to the creation of new job opportunities, particularly in areas such as AI development, deployment, and maintenance.
In conclusion, the Indian government’s estimate that AI could add $1.7 trillion to the country’s economy by 2035 is a testament to the vast potential of AI to transform and drive growth in the Indian economy. With the government’s proactive efforts to promote AI innovation, India is well on its way to becoming a major hub for AI development and adoption.
As the country continues to leverage AI to drive growth and innovation, it is essential to ensure that the benefits of AI are shared by all, and that the negative consequences of AI adoption are mitigated. This will require a concerted effort from the government, industry, and civil society to create a favorable ecosystem for AI innovation, and to address the challenges associated with AI adoption.
News Source: https://www.pib.gov.in/PressNoteDetails.aspx
About the Author
