India’s advancements in Artificial Intelligence (AI) are drawing global attention, with a recent United Nations Development Programme (UNDP) report praising the country's rising influence in the AI landscape. Titled “A matter of choice: People and possibilities in the age of AI”, the report puts India at the forefront of global AI skills, emphasizing its transformative use across sectors like agriculture, healthcare, and digital innovation.

India Leads in AI Skills and Talent

According to the UNDP, India now boasts the highest self-reported AI skills penetration in the world. This achievement reflects the nation's vast pool of over 5 million software developers, which is comparable to the population of Ireland. This massive and growing talent base has been pivotal in propelling India’s AI journey.

One of the most compelling points is how India is not just producing talent but increasingly retaining it. While in 2019, nearly all AI researchers from India migrated abroad, the report notes that now 20% of Indian AI researchers are choosing to stay and contribute to the domestic ecosystem. This reversal in brain drain signifies the growing confidence in India’s AI research environment and the opportunities it offers.

AI Empowering Key Sectors

India’s AI revolution is most evident in its real-world applications, especially in healthcare and agriculture:

• In Healthcare, AI tools are being deployed to enhance preventive care and early detection of diseases. For instance, AI-assisted radiologists are analyzing chest X-rays for tuberculosis, mammograms for breast cancer, and lung nodules, enabling faster, more accurate diagnostics.

• In Agriculture, AI is transforming the lives of farmers by offering real-time, local language support, which includes access to insurance schemes, government subsidies, and weather updates. These innovations are powered by India's ability to merge diverse data sources through digital platforms.

Digital Public Infrastructure: A Strong Foundation

The report credits much of India’s AI success to its robust digital public infrastructure. Platforms like Aadhaar, UPI, and India Stack have laid the groundwork for scalable AI applications across sectors. These infrastructures allow the seamless integration of data, enabling targeted and personalized AI solutions for both urban and rural populations.

Such digital ecosystems are helping bridge the gap between technological innovation and grassroots impact. Farmers receiving AI-backed recommendations on crop choices and disease prevention, or small businesses benefiting from AI-driven insights, show how inclusive AI development is shaping India’s future.

Building AI Capacity: The National Compute Facility

Looking forward, India plans to establish a national common compute facility to democratize access to computing power required for AI research. This facility will support startups, researchers, and educational institutions, helping them train AI models without relying on expensive foreign infrastructure.

The move is a strategic step to strengthen domestic capabilities and make India self-reliant in critical AI infrastructure. By reducing dependency on international computing facilities, India can also improve data sovereignty and support data-intensive AI development within its own borders.

Ethical AI and the Role of the Gig Economy

One of the standout aspects of the report is how India’s gig workforce is influencing the ethical development of AI systems. The report references the nationwide labour action by female gig workers from Urban Company, who opposed unfair algorithmic management and account deactivation—a powerful example of digital rights and labour ethics in the AI era.

In addition, Indian domestic workers are using platforms like WhatsApp and Facebook to connect, share knowledge, and voice their concerns, showcasing grassroots digital empowerment.

These developments reflect a broader movement where AI isn’t just about automation and efficiency, but about equity, dignity, and human-centric design. India’s involvement in shaping ethical frameworks for AI use is gaining global recognition.

Government as Regulator, Innovator, and Partner

UNDP’s report also highlights the multifaceted role of governments in AI, especially in countries like India. Governments can be partners in innovation, regulators ensuring safe AI usage, and even competitors in developing proprietary technologies.

India exemplifies this model with a range of initiatives supporting AI innovation hubs, policy frameworks like the National Strategy for AI, and investments in AI-related startups and research centers.

Challenges Remain: Infrastructure and Talent Migration

While India has made remarkable progress, challenges persist. The report warns that systematic gaps in computing resources, data availability, and institutional support can still cause losses in talent and innovation potential, especially as skilled individuals seek better opportunities abroad.

To counter this, India must continue investing in AI education, infrastructure, and incentives to retain talent. Only by addressing these foundational issues can India maintain and expand its leadership position in the global AI landscape.

A Global Model for AI-Driven Growth

India’s success in AI reflects a holistic approach—one that combines technical excellence, grassroots impact, strong public infrastructure, and ethical considerations. Its model shows that AI can be both a tool of empowerment and inclusion.

With ongoing efforts to foster innovation, support local ecosystems, and build globally relevant ethical standards, India is positioning itself as a thought leader in the global AI movement.

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