Indian Firms Claim 4X Returns from AI, Outpace Global Peers

According to a recent report, India is leading the charge in AI adoption, with a quarter of Indian companies now in the "transformation-ready" stage, the most advanced level of AI maturity. This is ahead of other markets like Australia and Singapore.

The study, commissioned by ServiceNow, found that Indian firms are investing heavily in AI, allocating around 13% of their overall IT budgets to the technology. And the payoff is significant, with companies claiming they are seeing a 4.6X return on every rupee invested in AI.

However, the report also identified some key gaps that Indian businesses need to address. Only 40% of respondents said they have enterprise-wide AI metrics in place, suggesting a need for a more holistic, platform-based approach to AI. Talent development also emerged as a critical area, with companies needing to invest in roles like AI configurators and specialists to fully harness the power of the technology.

Despite these challenges, the appetite for AI in India remains strong. ServiceNow's Chief Customer Officer, Chris Bedi, noted that AI is a central part of conversations with top Indian companies across sectors, from banks to conglomerates. The focus is not just on cost-cutting, but on using AI to drive productivity, speed, and revenue growth.

As AI continues to transform the business landscape, India appears poised to be at the forefront of this technological revolution. But to maintain its leadership position, Indian firms will need to address the gaps in metrics, governance, and talent identified in the report.