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The Challenges and Opportunities of AI for the Indian Economy

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A presentation I gave to the KV Management Institute in India, based on our research on the Indian AI ecosystem (

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The Challenges and Opportunities of AI for the Indian Economy

  1. 1. The Challenges and Opportunities of AI for the Indian Economy With Daniel Faggella, CEO, Emerj Artificial Intelligence Research
  2. 2. Emerj AI Research ● Emerj is a market research firm focused the implications of AI for business and government leaders ● Organizations planning very expensive technology initiatives use us to support critical decisions ● We work with clients as large as the World Bank, and startups who’ve only raised $10MM ● We present our research for the most reputable institutions in the world:
  3. 3. Emerj in India
  4. 4. Emerj in India
  5. 5. Emerj in India Full Report
  6. 6. Presentation Outline ● The State of AI in Business ● The Challenges of AI Adoption ● The Strengths of India’s AI Ecosystem ● The Weaknesses of India’s AI Ecosystem ● AI as a Force to Drive the Indian Economy (NOTE: At the end of this presentation, I’ve provided a “Resource” section to provide deeper resources to everything we cover today)
  7. 7. State of AI in Business ● For every 100 “AI companies”, only 10 have any meaningful traction. Only ⅓ of them even have credible AI talent ● “Toy applications” are common, and detrimental to everyone (asking “where can I apply AI?” instead of asking “how can I drive value?”)
  8. 8. Challenges of AI Adoption ● No ML talent in place at most companies ● More importantly, no management structures in place to: ○ (a) deal with uncertainty of AI applications ○ (b) Deal with the lengthy R/D process of AI ○ (c) getting buy-in from the C-suite ● Many older firms who don’t adjust will go out of business
  9. 9. AI in India - Strengths
  10. 10. AI in India - Weaknesses
  11. 11. They could be eaten away by companies that automate their work (basic IT services, customer service work, human resources work, payroll, etc…). 3 Scenarios of AI Econ. Impact They could take their deep expertise in different business processes, and be the first to automate or augment them with artificial intelligence. This would involve taking their existing expertise in BPO and IT services and finding new and better ways to solve those business problems with AI and ML They could stay at the bottom of the value chain, relegated to tagging images, combing through data for edge cases, training algorithms, etc (“The nation of mechanical turks”). This could pull out of a “copycatting” mentality (i.e. being a cheaper version of some Western business model), and become the kind of firms that the rest of the world references as “leading” and “premier,” not merely “less expensive.” 1 2 3
  12. 12. The Opportunity for India Nikhil Malhotra, Creator/Head, Maker’s Lab – TechMahindra ● India has an opportunity to capitalize on it’s data-rich sectors (particularly BPO and IT services) ● India has an opportunity to climb up the value chain, offer more value and capture more profit ● “Fall in love with the problem, not with the solution” - Nikhil Malhotra
  13. 13. That’s All, Folks The end. I’ve included a list of some of the resources from this presentation on my final “References” slide. Feel free to send along an email with questions, or for a copy of the slides: Twitter - @danfaggella
  14. 14. Resource List Top AI Business Articles: ● AI Adoption: ● Apply AI in Business: Top AI in India Resources from ● AI in India: ● Healthcare: ● Finance: -challenges/ ● Retail: ● Agriculture: overview/