Indian Business Leaders Embrace AI for Sustainability, Face Talent Shortage

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On Tue, 29 Apr, 4:03 PM UTC

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Autodesk's 2025 State of Design & Make report reveals Indian companies are leading in AI adoption for sustainability, but a skills gap is hindering progress. Despite growing trust concerns, businesses remain committed to AI investment.

Indian Companies Lead in AI Adoption for Sustainability

Autodesk's 2025 State of Design & Make report reveals that Indian businesses are at the forefront of leveraging artificial intelligence (AI) for sustainability initiatives. Over half (52%) of Indian business leaders are already using AI to support environmentally responsible outcomes, significantly surpassing the global average of 39% 12.

This strategic shift is driving tangible impacts, with 86% of Indian leaders believing that sustainability initiatives could contribute over 5% to their annual revenue. Moreover, 84% of digitally mature firms report that their sustainability efforts help attract and retain talent 1.

Optimism and Challenges in AI Adoption

Indian business leaders demonstrate strong optimism about AI's transformative potential, with 79% believing it will enhance their industry, compared to the global average of 69%. However, this optimism is tempered by challenges:

  1. Skills Shortage: 67% of Indian business leaders report that a shortage of skilled workers is limiting their growth 12.
  2. Hiring Difficulties: 68% struggle to find candidates with necessary technical skills 1.
  3. Evolving Skill Requirements: 67% have had to part ways with employees whose skills didn't meet evolving business needs 2.

AI as a Strategic Priority

Despite challenges, Indian businesses remain committed to AI:

  • 52% of leaders say the ability to work with AI will be their top hiring priority in coming years 1.
  • 78% plan to increase investments in digital skills training over the next three years 2.
  • 79% intend to increase their investment in AI, recognizing its long-term strategic value 12.

Growing Concerns and Trust Issues

While enthusiasm for AI remains high, there are emerging concerns:

  • Confidence in companies making the right decisions regarding AI has slightly decreased from 85% to 81% 12.
  • Overall trust in AI technology stands at 79%, down from 82% in the previous year 1.
  • 61% of Indian leaders acknowledge AI's potential to disrupt their industry, highlighting the need for adaptability 12.

Industry Perspective

Alok Sharma, Director AEC, Autodesk India and SAARC, commented on the findings:

"Indian businesses are not just adopting AI, they're using it with purpose. By integrating AI into their sustainability efforts, they're turning compliance into competitive advantage." 1

He also emphasized the importance of addressing the skills gap: "Investing in skills, especially AI fluency, will be key to unlocking future growth." 2

Future Outlook

As Indian companies continue to lead in AI adoption for sustainability, the focus is shifting towards responsible implementation and building trust. The commitment to long-term AI investment remains strong, with businesses recognizing its potential as a cornerstone of strategic growth and innovation for the future 12.

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