India’s internet user base tops 950 million as rural growth, AI drive adoption

India’s internet user base rose to more than 950 million in 2025, driven by rapid growth in rural areas alongside rising adoption of artificial intelligence (AI) tools and the growing popularity of short-form video content, according to an industry report.

The number of Active Internet Users (AIU) climbed about 8% year-on-year to 958 million, making India one of the world’s largest and fastest-evolving digital markets, the Internet and Mobile Association of India (IAMAI) said in its Internet in India Report 2025.

 

 

 

 

 

Rural India now accounts for about 548 million active internet users, or more than half the total base, and is growing at nearly four times the pace of urban India. Still, around 579 million people, or 38% of the population, remain non-active internet users, underscoring both the scale of India’s digital divide and the headroom for future growth.

The findings are based on the ICUBE study conducted by IAMAI and Kantar, which surveyed more than 87,000 consumers across over 400 towns and 1,000 villages.

AI adoption accelerates

 

 

 

AI is gaining widespread traction, with 44% of users engaging with AI-enabled features such as voice search, image-based search, chatbots and AI filters. Usage is highest among younger audiences, with 57% of users aged 15 to 24 and 52% of those aged 25 to 44 reporting AI use over the past year.

Short video drives engagement

Short-video consumption has emerged as a key growth driver, with 588 million users, about 61% of India’s internet population, consuming short-form content. Rural users now marginally outnumber urban users in this segment, with adoption strongest among younger audiences.

Urban e-commerce deepens

Online shopping continues to deepen in cities, with 230 million people, or 56% of the urban active internet base, having shopped online in the past year. Quick commerce and social commerce are gaining popularity alongside more established marketplaces.

Multi-device access expands

Multi-device usage is also rising. India now has 193 million multi-device internet users, accounting for about 20% of active users, up from 165 million in 2024. Shared devices remain a key enabler of access, with 18% of users going online through someone else’s mobile phone, nearly 80% of them in rural areas.