AI, AI, and AI! It seems the world has just gotten obsessed with the artificial intelligence domain in recent times. There was a time when only entertainment was used to attract the world on a large scale. But it looks like the generative Artificial Intelligence sector has disrupted businesses all over the world. Yeah, you read it right!
Nowadays, it has become almost like a compulsion for businesses to experiment with cutting-edge technologies to stay ahead of their competitors. Take for example, a progressing country like India itself has invested $8 billion in Artificial Intelligence between 2013 and 2022. Yeah, that’s surprising.
But you will be further shocked to note that countries like the United States and Israel invested $249 billion and $11 billion, respectively during the same time period. So, for startups in India who is adopting generative AI, be thankful as a report states that more than $475 million was invested in them between FY21 and FY23. Yeah, in just two years, such a big amount was invested on the AI-driven startups located in India.
Although this generative AI technology is still in its early stages in India, it has almost become the talk of the town every now and then right from big corporates to businesses to governments and then yeah, startups as well.
So, if later-stage startups come up with a unique value proposition in this technology then it can really attract eyeballs in a more straight way to get funds than the early-stage startups.
So, what do experts think on? Well, experts while supporting AI and ML applications think that introducing these trendy technologies in the education sector can go a long way in building a competent workforce in the long run. For example, if education in K-12 and higher education space covers knowledge and skills in AI and Machine Learning (ML), then India would definitely be not lagging behind as such considering the youth population of India is always going to be higher and stronger.
There is also a mutual understanding between the regulators and companies working in the generative AI space to initiate a legal framework so that there is deeper research and development in the AI and ML space.
Companies would surely have fewer doubts if there was government intervention. Also, the perception of foreign investors on Indian startups working on Gen AI can be more optimistic. Such startups then can explore further business functions and industry verticals that can be transformed with the ability of Gen AI.
As per a report by McKinsey, generative AI could increase the world economy by $4.4 trillion annually. It simply means that half of the jobs in the world could just be automated between 2030 and 2060. So, startups will have an important role to play in bringing this development. However, when it comes to Indian startups, it is only 20 pure-play businesses in India out of just 259 gen AI startups that are working all over the world.