Indian CEOs Are Doubling Down on AI Investments: BCG Report

Indian CEOs Are Doubling Down on AI Investments: BCG Report

A recent report shows that many Indian corporate leaders are significantly increasing their investments in artificial intelligence as part of their strategic growth plans. On average, Indian CEOs surveyed by global analysts said they plan to allocate about 1.7% of their company’s total revenue toward AI initiatives in 2026, marking a clear shift from exploratory use toward deeper integration of AI across business functions.

One notable trend is that AI funding is no longer limited to pilot projects; companies are moving toward enterprise‑wide deployments that touch core operations, customer experience, supply chain optimisation, and innovation pipelines. Leaders believe that AI will be a key competitive lever, helping firms improve efficiency, reduce costs, generate new revenue streams, and enhance decision‑making with data‑driven insights.

The report also found growing confidence among Indian CEOs in scaling AI beyond technology teams. Many are building dedicated AI units, hiring specialized talent, and upskilling existing employees to work alongside AI tools. This reflects a broader recognition that successful AI adoption requires not just technology investment but also organisational transformation, including leadership commitment, change management, and cross‑functional collaboration.

Despite enthusiasm, executives remain mindful of challenges such as data readiness, talent shortages, regulatory uncertainty, and ethical considerations related to AI use. Companies emphasised the need for robust data governance, responsible AI practices, and clear policies to ensure trust and compliance as they expand their AI footprint in 2026 and beyond.

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