Is India lagging in enterprise AI adoption? Here's what global tech leaders think
Indian enterprises are lagging in AI adoption compared to the US, driven by investor pressure on American companies to demonstrate AI-driven growth, while Indian firms face less urgency from capital markets. Global tech leaders Umesh Sachdev and Gajen Kandiah highlight Singapore, Hong Kong, and Australia as regions advancing faster in enterprise AI deployment, prioritizing cost, data control, and scalability over experimentation.
Indian businesses are trailing global peers in enterprise AI adoption, according to Umesh Sachdev, CEO of Uniphore, and Gajen Kandiah, CEO of Rackspace Technology. While US companies accelerate AI implementation due to investor demands—with Wall Street rewarding AI-driven results—Indian firms lack similar market pressure, leading to slower capital allocation for AI projects. Sachdev noted publicly listed US firms must justify AI investments in earnings calls or risk stock declines, creating urgency among executives. Singapore, Hong Kong, and Australia are exceptions in Asia, adopting AI-driven automation faster than India, with large enterprises deploying agentic AI systems. These markets prioritize practical deployment over hype, focusing on governance, security, and ROI, according to Kandiah. Meanwhile, Indian capital markets have not yet tied AI investments to stock performance, allowing CEOs to proceed cautiously. The gap in adoption stems from differing market expectations: Wall Street’s explicit rewards for AI innovation contrast with India’s more measured approach. Sachdev expects AI to reshape industries globally but warns India’s challenge lies in speed. Both leaders emphasize that enterprises now seek lower AI costs, greater data control, and flexible infrastructure to transition from experimentation to production. Despite the lag, Sachdev remains optimistic about India’s long-term potential in AI, provided companies and governments adapt quickly. The shift toward scalable, cost-efficient AI solutions is gaining traction, but the absence of investor-driven urgency remains a key barrier. For now, India’s enterprise AI journey is marked by cautious experimentation rather than rapid deployment.
This content was automatically generated and/or translated by AI. It may contain inaccuracies. Please refer to the original sources for verification.