Over 50% of surveyed Indian enterprises set to expand AI adoption: Report

Over half of Indian enterprises are planning to scale up their Artificial Intelligence (AI) adoption rapidly, revealed a CII-Protiviti report released on Friday. The study, based on insights from over 300 senior industry leaders, indicates that half of the businesses in India are set for accelerated AI integration, but one-third intend to adopt AI at a gradual pace.

While close to 60% of the organisations are either fully or moderately prepared to implement AI-driven solutions, one-fourth of the surveyed firms are still in the early stages. There is a growing emphasis on leveraging AI to enhance operational efficiency, customer experience, and decision-making processes across industries such as healthcare, financial services, manufacturing, telecom, automotive, and aviation.

Despite recognising AI’s potential, enterprises face several barriers to large-scale adoption. Concerns related to ethical risks, bias, regulatory compliance, high costs, and a shortage of skilled AI professionals remain significant challenges. Additionally, issues surrounding data privacy and governance further add to the complexity of AI implementation. While a majority of organisations feel confident in their data strategy and AI adoption plans, only 23% have established ethics and governance frameworks to ensure responsible AI deployment.

With AI governance gaining prominence, 36% of respondents believe that a dedicated Chief AI Officer should oversee AI initiatives, while 18% support a shared governance model. Many organisations have also expressed willingness to undergo external AI audits and bias assessments to ensure accountability and ethical usage of AI technologies.

As AI continues to evolve, its affordability and efficiency improvements are expected to drive further adoption. The growing interest in generative AI and agentic AI solutions suggests that enterprises are keen on exploring advanced technologies to remain competitive in an increasingly digital landscape.

“AI is reshaping the world, and India is at the forefront of this shift. With rapid digital adoption, businesses are integrating AI at an accelerated pace, driving economic growth. Encouragingly, over 74% executives are considering Generative AI as one of the critical business imperative and more than 80% are carrying out multiple auditability measures such as, Biasness Audits, AI Governance Framework or Explainable AI tools, demonstrating a commitment to responsible AI,” said Sandeep Gupta, Managing Director, Protiviti Member for India.

As AI becomes more cost-effective, its transformative impact will redefine industries and spur innovation, he added.