A new IBM–IndiaAI study says artificial intelligence could contribute more than $500 billion to India’s economy by 2030, highlighting the country’s growing role in the global AI race. The report states that Indian businesses and policymakers increasingly see AI as a major driver of productivity, innovation, and economic expansion across industries such as healthcare, finance, education, manufacturing, and public services.
According to the study, nearly 80% of Indian business leaders believe AI adoption will significantly impact GDP growth, while many expect India to emerge as a global AI leader by the end of the decade. Government-backed initiatives like IndiaAI and rapid digital infrastructure growth are helping accelerate AI integration across the country.
However, the report also notes that many organizations are still struggling to scale AI effectively. Challenges including limited cloud infrastructure, cybersecurity concerns, poor data quality, and lack of skilled talent continue to slow implementation. Only a small percentage of companies are currently deploying AI at large operational scale.
The study further warns that India faces a major AI skills gap, with demand for AI-literate professionals expected to rise sharply by 2030. Experts quoted in the report say that investments in education, workforce training, governance, and digital infrastructure will be essential if India wants to fully realize AI’s economic potential and strengthen its position in the global technology landscape.
