India has been recognized as one of the first AI-ready nations, making significant progress in various aspects of AI architecture like applications, models, chips, infrastructure, and energy. With a young and tech-savvy population, India is at the forefront of leveraging AI for productivity, innovation, and job creation. The country’s workforce, with over 65% under 35, provides a solid foundation for AI-driven industries, fostering innovation, digital services, and the creation of future-ready jobs.
Preparations for the ‘India AI Impact Summit 2026’ are underway, with 12 Indian AI startups selected under the Foundation Model Pillar participating in a Roundtable chaired by Prime Minister Shri Narendra Modi. These startups are engaged in diverse areas such as Indian language foundation models, speech-to-text technologies, 3D content generation using AI, healthcare diagnostics, and more. According to the Stanford AI Index Report 2025, India leads globally in AI talent acquisition, with a significant annual hiring rate of about 33%.
India’s relative penetration of AI skills, as per the Stanford University’s AI Index Report 2025, is 2.5 times higher than the global average across various occupations. The country boasts one of the most AI-literate workforces globally, trailing only the United States. India’s extensive domestic data ecosystems in sectors like health, agriculture, finance, and education provide significant comparative advantages for AI development. The World Bank’s South Asia Development Update Report highlights that AI-related job opportunities in South Asia are predominantly concentrated in India and Sri Lanka.
In India, AI-related job opportunities are concentrated in cities like Bangalore, Hyderabad, Pune, and Chennai, with a notable demand for AI expertise in white-collar jobs. Bangalore leads with an 11% share of AI jobs, followed by Hyderabad at 9.57%, Pune at 6.95%, and Chennai at 6.62%.
