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India Has Not Lost the AI Race, Says Former NITI Aayog CEO Amitabh Kant

Former G20 Sherpa and former NITI Aayog CEO Amitabh Kant has dismissed claims that India has fallen behind in the global artificial intelligence landscape, stating that the country could emerge as the next primary destination for the technology.

What Happened

Speaking at the Business Today India@100 event during a session titled ‘The Future of Make in India’, Amitabh Kant addressed common perceptions regarding the country’s standing in artificial intelligence. He rejected the notion that India has lost the AI race, explaining that while other nations lead in manufacturing chips and lithography equipment, India possesses distinct strengths in human capital, technical expertise, and vast data resources necessary to deploy AI applications.

Kant noted that the global AI landscape is currently led by the United States and China, particularly in training infrastructure and the creation of large language models. Although India may not compete with those nations on identical terms regarding large models, he emphasized that the field of practical AI applications remains wide open for India to lead.

Key Highlights

  • Data Contribution: India is projected to generate approximately 22% of the world’s data.
  • Infrastructure Growth: Kant stated that nearly $200 billion in data centre investments are slated to be established in India, facilitating localized data processing and business growth.
  • Reverse Talent Flow: International AI specialists, including professionals from the United States, are relocating to India to join local startups and Global Capability Centres (GCCs).
  • Key Sector Applications: Priority areas identified for AI integration include agriculture, healthcare, nutrition, learning outcomes, and manufacturing.
  • Skilling and Manpower: Kant pointed out an existing shortage of data scientists, machine learning experts, and AI engineers, suggesting India could ultimately supply around 30% of global skilled manpower if curriculum reforms take place.

Why This Matters

The distinction between creating foundation models and implementing practical applications defines India’s strategic path in technology. Kant explained that rather than merely attempting to copy the large language model race seen in the US and China, India’s opportunity lies in leveraging its massive digital infrastructure, incoming data centre capital, and expanding talent base.

Addressing concerns regarding automation and workforce displacement, Kant remarked that previous technological transitions also sparked fears of job losses but eventually resulted in net employment growth. However, adapting to this shift will require significant adjustments in workforce capabilities. Because there is already a deficit of specialized professionals, updating education systems and technical training is vital for both domestic industry and the international tech sector.

What to Watch Next

According to the details shared by Kant, the key areas to observe include the rollout of the projected $200 billion data centre infrastructure across the country, as well as concrete changes in national skilling and academic curricula to train engineers and data scientists. Attention will also center on how Indian startups and Global Capability Centres deploy AI tools across target sectors like healthcare, farming, and manufacturing.

Frequently Asked Questions

Did Amitabh Kant say India has lost the AI race?

No. Amitabh Kant stated that it is incorrect to believe India has lost the race, asserting that India has significant potential to become a key destination for AI through its data, talent, and applications.

How does India’s AI strategy differ from the US and China?

While the US and China lead in developing large language models and core hardware like chips, Kant indicated that India’s main opportunity is focused on applying AI across diverse sectors such as healthcare, agriculture, and manufacturing using its vast data and technical talent.

What infrastructure investments are expected in India for AI?

Kant stated that roughly $200 billion worth of data centres are expected to be established in India, which will support local data processing and related tech businesses.

Source: Business Today India@100 address reported by India Today.