The AI market size in India was around *** billion U.S. dollars in 2024. Among all the segments, machine learning had the largest share at *** billion dollars. Artificial intelligence has been responsible for drastic changes in the technology sector where it can greatly improve productivity through process simplification and automation. It is also an integral part and one of the fundamental bases of Industry 4.0. IT industry in India The IT industry in India is a huge industry which consists of information technology services, consulting, and outsourcing. India’s IT services industry was born in Mumbai in 1967 when Tata Consultancy Services was established. India made up to more than ** percent of the global IT spending in financial year 2021. Within the global IT industry, India is renowned for its IT outsourcing services, and with governmental support and foreign investments, the industry is also developing technologies relative to AI and IoT. AI technologies The main branches of an AI ecosystem are machine learning, robotics, artificial neural networks, and Natural Language Processing (NLP). In machine learning, software programs run through existing data, and apply the learned knowledge to new data or to predict data. In the field of robotics, it develops and trains robots for various applications. A prominent example is autonomous vehicles, though the level of autonomy varies, it was estimated that between 2024 and 2025, fully autonomous cars could be seen in the market.

India Artificial Intelligence Market reached USD 6.8 billion in 2024 and is estimated to reach USD 27.7 billion in 2032 and expanding at a robust CAGR of 19.2% till 2030

The India Artificial Intelligence Market size is valued at USD 5.95 billion in 2023, driven by market trends, strategic insights, and top players. Explore market segmentation, growth projection, and industry challenges.

In 2024, the size of artificial intelligence (AI) in the healthcare market in India reached *** million U.S. dollars. It was estimated that in 2025 the value would increase to substantially around *** billion U.S. dollars. The integration of AI is a turning point for medical research, diagnosis, and treatment in India.

The India artificial intelligence market size reached USD 1,251.79 Million in 2024. The market is projected to reach USD 12,429.61 Million by 2033, exhibiting a growth rate (CAGR) of 27.60% during 2025-2033.The growing pool of skilled talent in STEM fields, the introduction of numerous favorable government initiatives, rapid digitization, the increasing demand for AI-driven solutions across various industrial verticals, and continuous innovations are among the key factors driving the market growth.

India Generative AI Market was valued at USD 7.31 Billion in 2025 and is expected to reach USD 58.21 Billion by 2031 with a CAGR of 41.31% during the forecast period.

The AI market share of the IT services industry in India reached **** percent in 2021. Artificial intelligence has been responsible for drastic changes in the technology sector where it can greatly improve productivity through process simplification and automation. It is also an integral part and one of the fundamental bases of Industry 4.0. In several developed countries, AI could potentially maximize labor productivity by more than ** percent in the next 15 years. AI application in India As India is a country with huge linguistic diversity, it imposes a great challenge to governments and companies when conducting business with people of different linguistic backgrounds. As a result, one of the first applications for AI in India is in the field of customer service. The Indian government has increased public investment to promote the Digital India initiative in the fields of AI, IoT, big data, machine learning, and robotics. Challenges of AI adoption in India However, there are several obstacles India faces in the process of AI adoption. India has a comparatively small number of scientists and researchers in the field of machine learning and artificial intelligence. It also lacks sufficient qualified specialists to localize and implement the latest technologies in the field. However, the Ministry of Electronics and Information Technology, along with various industrial bodies have introduced several programs of personnel training and technical infrastructure building to lay the foundation for future AI development in India.

India conversational AI market size reached USD 516.8 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 4,936.9 Million by 2033, exhibiting a growth rate (CAGR) of 26.4% during 2025-2033. The increasing automation of business operations and numerous technological advancements are primarily driving the market growth across the country.

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on component, type, technology, deployment mode, organization size, and end user.

India Artificial Intelligence Optimised Data Center Market Report is Segmented by Data Center Type (CSP Data Centers, Colocation Data Centers, Others (Enterprise and Edge)), by Component (Hardware, Software Technology, Services - (Managed Services, Professional Services, Etc). The Report Offers the Market Size and Forecasts for all the Above Segments in Terms of Value (USD).

The Indian Artificial Intelligence (AI) market is projected to grow exponentially, with a market size of 19942.01 million in 2025, estimated to reach a CAGR of 18.20% during the forecast period of 2025-2033. This growth is attributed to several factors, including the increasing adoption of AI across various industries, the rising need for data analytics and automation, and favorable government initiatives. The Indian AI market is witnessing significant advancements in AI-powered technologies such as natural language processing (NLP), machine learning, and deep learning. These technologies are becoming increasingly embedded into various applications, such as customer service chatbots, autonomous vehicles, and healthcare diagnostics. Key drivers of the Indian AI market include growing investments in research and development, the increasing availability of data, and the rise of cloud computing. Major trends shaping the market include the integration of AI with other technologies such as the Internet of Things (IoT) and edge computing. However, the market faces certain challenges, including concerns over data privacy and security, the need for skilled AI professionals, and regulatory uncertainties. Key players in the Indian AI market include both global technology giants and domestic startups, with leading companies such as Google, Microsoft, IBM, Oracle, and AWS establishing a presence in the country. Recent developments include: In February 2023, Nestle SA, the Swiss-based global food industry leader, announced the global rollout of its Indian unit's AI model., In February 2023, The Government of India claimed that it was expanding the INDIAai program by cooperating with India-based tech businesses, startups, and academic institutions with the two goals of "making AI in India and making AI work for India." INDIAai (The National AI Portal of India) is a cooperative endeavor of MEITY, NEGD, and NASSCOM. It was established to prepare India for an AI future..

India AI in Agriculture Market was valued at USD 55.17 Million in 2024 and is anticipated to reach USD 109.30 Million with a CAGR of 12.24% during the forecast period.

In 2023, the market size for generative artificial intelligence (GenAI) was around *** billion U.S. dollars. It was estimated that between 2023 and 2030 the compound annual growth rate would reach ** percent. As of July 2024, ************ GenAI startups in India were in code and data segment.

The AI Market Report Segments the Industry Into by Component (Hardware, Software, and Services), Deployment Mode (Public Cloud, On-Premise, and Hybrid), Technology (Machine Learning, Deep Learning, Natural Language Processing, Computer Vision, Generative AI, and Context-Aware Computing and Others), End-User Industry (BFSI, IT and Telecommunications, Healthcare and Life Sciences, Manufacturing, and More), and Geography.

India Generative AI Market growth is driven by applications ranging from marketing and entertainment to healthcare and software development, generative AI is redefining content creation, personalization, and productivity.

In 2023, India Automotive AI Market reached a value of USD 158.8 million, and it is projected to surge to USD 1138.4 million by 2030

India Artificial Intelligence Market was valued at USD 10.19 Billion in 2025 and is expected to reach USD 50.57 Billion by 2031 with a CAGR of 30.41%.

Gain insights into the India Conversational AI Market size at USD USD 288 million in 2023, featuring Market Forecasts & Outlook, growth opportunities, and industry challenges.

In 2021, the multinational corporation in IT, technology, and electronics category has the highest share of the AI market in India with almost ** percent share and size of more than ***** billion U.S. dollars. Companies like Accenture, IBM, Microsoft, Google, SAP, and etc. all have large AI operations in India.

India Artificial Intelligence (AI) Chip Market is set for rapid growth, driven by increasing demand for AI-powered applications across industries.

Technological advancements in the India Artificial Intelligence industry are shaping the future market landscape. The report evaluates innovation-driven growth and how emerging technologies are transforming industry practices, offering a comprehensive outlook on future opportunities and market potential.