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The AI Revolution: Promise and Peril for India’s Future

BusinessThe AI Revolution: Promise and Peril for India’s Future

Artificial Intelligence (AI) is transforming societies, economies, and governance systems at an unprecedented pace. As one of the fastest-growing technology hubs, India stands on the cusp of an AI revolution. By leveraging its burgeoning digital infrastructure, entrepreneurial spirit, and government initiatives such as AI for All, India is positioning itself as a key player in the global AI ecosystem. However, the rapid proliferation of AI raises significant questions about equity, ethics, and governance. As India accelerates its adoption of AI technologies, it must address these challenges to ensure inclusive and sustainable growth.
India’s unique combination of a large, tech-savvy population and vast datasets provides a fertile ground for AI innovation. Across sectors like healthcare, agriculture, education, and governance, AI-driven solutions are making tangible impacts. For example, AI-powered diagnostic tools are enabling earlier detection of diseases like tuberculosis and cancer, where timely intervention can save lives. Telemedicine platforms such as Practo and 1mg are revolutionising healthcare access, especially in underserved rural regions, by using AI to connect patients with doctors virtually.
In agriculture, AI-powered technologies are helping farmers optimise productivity and reduce waste. Companies like CropIn and DeHaat are using predictive analytics to offer real-time insights into soil quality, crop health, and weather conditions. AI-enabled drones monitor plantations, ensuring efficient use of water and pesticides. These innovations not only enhance yields but also contribute to the government’s broader goal of doubling farmer incomes by 2024.
The education sector has also witnessed an AI-driven transformation. Platforms like BYJU’S and Vedantu employ machine learning algorithms to deliver personalised learning experiences tailored to individual student needs. AI-powered chatbots support students with instant answers and interactive learning tools, bridging gaps in traditional education systems. These advancements have been crucial in democratising education, especially during the pandemic-induced shift to online learning.
India’s start-up ecosystem is thriving, with AI-focused ventures like Haptik and Mad Street Den gaining global recognition. Supported by initiatives such as Startup India and significant investments from global tech giants like Google, Microsoft, and Amazon, these start-ups are driving innovation across sectors. Additionally, state-backed projects, including the deployment of AI in smart city initiatives, enhanced governance systems, and projects like Aadhaar have demonstrated the potential of AI to streamline operations and enhance service delivery. From real-time traffic management in urban areas to using predictive analytics for better resource allocation, AI is making governance more efficient.
Despite these achievements, AI’s success in India is not without its share of risks. The unregulated expansion of AI technologies poses significant challenges, particularly in areas like job displacement, ethical considerations, and environmental sustainability.
Ethical and Social Challenges
The most pressing issue accompanying AI’s rapid adoption is the displacement of jobs. Automation is increasingly replacing repetitive and manual tasks, particularly in sectors like manufacturing, logistics, and customer service. According to a World Economic Forum report, nearly 69% of jobs in India are at risk of being automated. While AI has the potential to create opportunities in new fields, the transition is uneven, with low-skilled workers bearing the brunt of job losses. Addressing this challenge requires large-scale upskilling programs and innovative workforce strategies to ensure that no segment of society is left behind.
AI systems are not immune to bias, a problem that poses serious risks in India’s socio-cultural context. Algorithms often reflect the biases present in the data they are trained on, potentially perpetuating existing inequalities. For example, facial recognition systems have been found to misidentify marginalized communities more frequently, and hiring tools may inadvertently favour certain demographics. In a country as diverse as India, such biases could deepen societal divides. Robust auditing processes and regulatory oversight are essential to ensure that AI systems are fair, inclusive, and equitable.
Privacy and data security are additional concerns. AI relies on vast amounts of data to function, and India’s lack of a comprehensive data protection framework leaves its citizens vulnerable to misuse. With government and private entities increasingly adopting AI for surveillance and decision-making, the absence of clear boundaries on data usage exacerbates privacy concerns. Cases of unauthorised data harvesting by platforms raise alarm over the ethical use of AI technologies.
Charting a Path Forward
To harness the benefits of AI while addressing its challenges, India needs a balanced and forward-looking approach. A robust regulatory framework is essential to govern AI development and deployment. This includes implementing data protection laws that safeguard citizen privacy and ensure accountability. Policymakers must also mandate algorithmic audits to eliminate biases and uphold transparency, making ethical AI development the norm.

Education and workforce reskilling are pivotal in addressing the disruption caused by automation. Initiatives like Skill India must expand their focus to include AI-related skills, preparing the workforce for the jobs of the future. Industry partnerships with educational institutions can help create specialized programs that align with evolving market demands. Ensuring access to these opportunities for marginalized groups is critical to preventing disparities. Sustainability should become a cornerstone of India’s AI strategy. Investments in energy-efficient AI models and collaboration with global organizations on sustainable practices will help reduce the environmental footprint of AI technologies. Public awareness campaigns can encourage responsible usage and development of AI systems, fostering a culture of innovation that prioritizes sustainability. India’s active participation in global discussions on AI governance is crucial.

Dr. Sharanpreet Kaur in an Assistant Professor of International Relations at School of Social Sciences, Guru Nanak Dev University, Amritsar.

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