India's AI ambitions hinge on re-skilling 200 million workers into 350 million by 2030

India's AI ambitions hinge on turning 200 million workers into 350 million

"That demographic dividend, that's sitting here, unleashing that is a phenomenal opportunity," Patel said. "You will be at a 350 million AI-trained workforce that can be deployed not just here, but can be doing work around the world." The figure comes from a joint study by IBM's Institute for Business Value and IndiaAI, published earlier this month, which estimates that AI could add more than $500 billion to India's economy by 2030. To get there, the AI-literate share of India's technology workforce will have to rise from around thirty per cent today to nearly fifty-seven per cent by the end of the decade. That is the gap between 200 million and 350 million workers, and it is meant to close in less than five years. The pressure is structural. India produces millions of engineers a year, and many of them work in the IT-services industry that built the country's reputation as the world's back office. Those jobs are precisely the ones generative AI is now coming for. Coding, ticket handling, junior analyst work: the tasks that have, until recently, scaled with headcount are now scaling with model calls. Patel framed it carefully. "AI is both creating productivity improvements, which is changing the complexion of jobs, but it's also creating new skill sets that people have to adapt and learn, which then creates newer jobs," he told ANI at the report's launch. The report itself is blunter than the executive on stage. Seventy-two per cent of surveyed organisations admit they are behind global peers on AI. Only fifteen per cent are scaling AI through cross-functional investment; the remaining eighty-five per cent are stuck in pilots. The execution gap is not unique to India. It is the same story in Brussels, where Eurostat's December release showed only a fifth of EU enterprises using AI, and where European executives name skills shortages as a top barrier behind only regulation. What is unique to India is the demographic arithmetic. More than half of the country's 1.4 billion people are under thirty. The government's IndiaAI FutureSkills programme is trying to translate that into AI literacy at scale, with data and AI labs being expanded into Tier 2 and Tier 3 cities. IBM, which in December committed to skill five million Indians in AI, cybersecurity and quantum computing by 2030 through its SkillsBuild platform, is one of the corporate vehicles for that effort. The company has been quietly growing its footprint outside Bengaluru and Hyderabad, expanding in Kochi to roughly four thousand staff within two years and opening a presence in Lucknow. Patel pressed one further point that is less commonly raised in the AI-and-jobs conversation: intellectual property. India will need stronger IP enforcement, he said, if it wants to move from running the world's back office to creating monetisable technology of its own. If the next decade of AI value accrues to the firms that own the models, the country that trains the workforce but not the IP will, again, be operating someone else's product. The skill capital and the model capital are not the same thing. India, on Monday's evidence, is aiming for both.

India's AI ambitions hinge on workforce re-skilling: IBM India head

India must unite government, companies, and academia for AI advancement. A young workforce offers a significant advantage. Skilling initiatives are crucial for a large AI-trained population. Stronger intellectual property protection is also vital for innovation. IBM is expanding its presence to tap into talent beyond major tech hubs. India will need a coordinated push across government, companies and academia on skilling and policy if it wants to become an AI powerhouse, an IBM executive said, as the technology threatens the country's position as a global services hub. IBM India head Sandip Patel told Reuters on Monday that ⁠the South ⁠Asian nation's large young workforce could give it an advantage in the global race to adopt and capitalise on the technology, which companies say can improve productivity. "That demographic dividend, that's sitting here, unleashing that is a phenomenal opportunity," Patel said. "You will be at a 350 million AI-trained workforce that can be deployed not just here, but can be doing ⁠work around the world." More than half of India's population of around 1.4 billion is under 30, giving the world's most populous nation ⁠a vast young workforce. The country also produces millions of engineers every year who now face a threat from AI tools that can automate tasks like coding. IBM, which in December promised to skill 5 million people in India on AI, cybersecurity and quantum computing by 2030, said about 30% of the country's available technology workforce has the AI skills needed by businesses. The company is working with the government on skilling initiatives. Patel also said India would need stronger intellectual property protections to become a force in creating technology that ⁠could be monetised, adding companies need greater assurance that IP developed here would hold up and remain commercially viable across borders. IBM has been expanding into tier-two cities near its hiring and client bases, helping it tap talent beyond India's saturated tech hubs, Patel said. The company's presence in the southern city of Kochi has grown to nearly 4,000 employees within two years, and it recently expanded into Lucknow.

India's AI ambitions hinge on workforce re-skilling, IBM India head says

BENGALURU, May 25 (Reuters) - India will need a coordinated push across government, companies and academia on skilling and policy if it wants to become an AI powerhouse, an IBM executive said, as the technology threatens the country's position as a global services hub. IBM India head Sandip Patel told Reuters on Monday that the South Asian nation's large young workforce could give it an advantage in the global race to adopt and capitalize on the technology, which companies say can improve productivity. "That demographic dividend, that's sitting here, unleashing that is a phenomenal opportunity," Patel said. "You will be at a 350 million AI-trained workforce that can be deployed not just here, but can be doing work around the world." More than half of India's population of around 1.4 billion is under 30, giving the world's most populous nation a vast young workforce. The country also produces millions of engineers every year who now face a threat from AI tools that can automate tasks like coding. IBM, which in December promised to skill 5 million people in India on AI, cybersecurity and quantum computing by 2030, said about 30% of the country's available technology workforce has the AI skills needed by businesses. The company is working with the government on skilling initiatives. Patel also said India would need stronger intellectual property protections to become a force in creating technology that could be monetised, adding companies need greater assurance that IP developed here would hold up and remain commercially viable across borders. IBM has been expanding into tier-two cities near its hiring and client bases, helping it tap talent beyond India's saturated tech hubs, Patel said. The company's presence in the southern city of Kochi has grown to nearly 4,000 employees within two years, and it recently expanded into Lucknow. (Reporting by Chandini Monnappa and Aditya Soni in Bengaluru; Editing by Anil D'Silva) By Aditya Soni and Chandini Monnappa