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India focuses on domestic development in the race for artificial intelligence



India takes the local track in its AI race

**AI’s Integration in Indian Enterprises Sees Significant Growth**

A recent study conducted by Morning Consult, commissioned by IBM, has shed light on the increasing adoption of Artificial Intelligence (AI) within the enterprise sector in India. Approximately 59% of enterprise-scale organizations in India are actively integrating AI into their operations, according to the IBM Global AI Adoption Index 2023. This trend highlights the maturation of AI as a crucial tool for enhancing product efficiency, streamlining supply chains, and reducing time-to-market.

The AI landscape in India primarily focuses on classical, traditional, or discriminative AI, with a growing interest in the emerging wave of generative AI (GenAI) introduced by OpenAI, especially through its creation of ChatGPT. Since its release in December 2022, ChatGPT has attracted over 100 million users and propelled OpenAI to a valuation exceeding $100 billion, boasting around 180.5 million users.

While traditional machine-learning techniques were limited to observing and classifying patterns in content, GenAI models leverage self-supervised learning to pre-train on vast amounts of data, creating new designs and proposing improvements. This innovation has led to the development of various ‘Big Daddy’ tech AI models, including large language models (LLMs) like OpenAI’s GPT-4 and Sora, Google’s Gemini, and Meta’s LLaMa.

However, India’s venture into the GenAI domain faces challenges due to its linguistic diversity, with over 400 languages requiring country-specific large language models (LLMs). Despite obstacles such as high computing costs and a lack of comprehensive Indian datasets, Indian tech innovators are striving to harness GenAI for commercial success and public good.

The Indian government’s investment of approximately $1.1 billion in its AI policy underscores the nation’s commitment to fostering an AI ecosystem that can drive technological innovation. As Gartner predicts that 40% of enterprise applications will incorporate GenAI by the end of 2024, India’s focus on AI represents a strategic move towards leveraging technology to address local challenges and strengths.

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