One in three Indian firms claim to have mature Responsible AI practices: Nasscom

About a third of Indian companies claim to have matured responsible artificial intelligence (RAI) practices in place. A large chunk of these companies are large enterprises, according to a new report from industry body Nasscom, that details the state of RAI in India. Small and medium-sized enterprises (SMEs) and startups lag 2.3 times and 1.5 fold behind larger firms in terms of RAI maturity.

Responsible AI is defined as the practice of designing, developing, and deploying AI tools and frameworks that help businesses advance in ethical and responsible way. With AI systems getting more advanced by the day, different stakeholders have called for guardrails and responsible development and deployment.

Nasscom’s report is based on responses from over 500 senior executives across large, SMEs, and startups. The report also shows a direct correlation between AI maturity level and RAI maturity. About 60% of the respondents reporting AI maturity at their firms, also reported mature RAI policies and practices. Around two-third of businesses in sectors such as BFSI (banking, financial services, and insurances), TMT (technology, media, and telecommunications), and healthcare reported having either matured RAI practices or having initiated formal steps towards RAI adoption.

Nasscom further notes that large-scale implementation of RAI adoption is dependent on the mitigation of technical, commercial, and regulatory challenges. The focus on trust and transparency in commercial development is the current focus for businesses, but it must expand to the lack of high-quality data and shortage of skilled technical and management personnel. Further, a majority of respondents in the survey suggest that the accountability of RAI compliance should be borne by the C-suite or the board of directors at their companies.

“Insights from the survey are anticipated to catalyse the creation of stronger industrial policies and strategies aimed at ensuring compliance with RAI. As India gears up to become a global epicentre for AI development and use, these insights will serve as a compass for AI governance and regulations that strike a delicate equilibrium between nurturing innovation and upholding ethical principles,” said Debjani Ghosh, President, Nasscom.