From back office to global powerhouse: India’s AI ambitions take shape

Once known as the world’s IT back office, India is now positioning itself as a global AI powerhouse—armed with deep tech talent, a vibrant startup ecosystem, and robust policy backing. But as ambitions soar, so must accountability — with security, ethics, and inclusion forming the backbone of India’s AI moment.

“India has always been well placed in the software world, and AI will be no different,” said Ganesh Gopalan, CEO and co-founder of Gnani.AI, a conversational AI platform and a key participant in the IndiaAI Mission. “But the real opportunity lies beyond large language models (LLMs). It’s about solving real-world problems across industries and governance — for India and for the world.”

That shift — from IT services to AI solutions — is already underway. India attracted more than $1.5 billion in AI investments last year. But the country is no longer content with just exporting talent — it wants to build and consume its own AI innovations. Experts stress the need for “lighthouse” AI companies, homegrown in India and ready to lead globally.

Yet, opportunity walks hand-in-hand with complexity. Enterprises are adopting AI cautiously, wary of its risks. “While we all talk about the opportunities, AI also brings serious risks — both external and internal,” said Subramanian Udaiyappan, Director – Advanced Technology Solutions, Fortinet. “You can’t throw people at these problems anymore. You need AI to secure AI.” A recent survey he cited showed over half of Indian firms had experienced AI-led attacks, though only a small fraction felt prepared to counter them.

Recognising these challenges, the Indian government is stepping in with policy muscle. “We’ve identified critical gaps — compute, datasets, and funding — and launched the IndiaAI Mission to bridge them,” said Abhishek Singh, Additional Secretary at MeitY and CEO of IndiaAI Mission. “We’re offering 34,000 GPUs at under $1 per hour, building datasets, and enabling startups to scale.”

Companies are already reaping the benefits. “We lacked access to affordable compute,” noted Gopalan. “Thanks to the IndiaAI Mission, we now have the infrastructure to build for India and beyond.”

Among the flagship initiatives is Bhashini, a natural language processing (NLP) platform enabling real-time speech and text translation across Indian languages. It aims to bridge the digital divide for nearly 500 million Indians still disconnected from digital services. Singh offered a compelling use case: “A woman in a remote tribal village can call a toll-free number, speak in her native language, describe her health symptoms, and receive reliable medical advice instantly.”

AI is also finding transformative applications in healthcare. From diagnosing tuberculosis via x-ray scans to detecting breast cancer and forecasting extreme weather, AI is increasingly outperforming human specialists. In education, AI-powered adaptive tools are offering personalised learning, helping struggling students and children with learning disabilities.

But with rising threats like deepfakes and AI-led cybercrimes, ethical AI governance has become paramount.

“Ambition must be tempered with responsibility,” warned Saurabh Sahu, MD & Lead - India Business, Accenture India. “We must ensure AI is governed well, embedded into education, and used inclusively.”

As India stands at this critical inflection point, with the right mix of talent, infrastructure, and intent, its AI journey may not just shape the country’s future — but also redefine global AI leadership. As Sahu put it, “AI stands for Artificial Intelligence — but it can also stand for Atmanirbhar India.”