Indian companies lead global peers in AI adoption, says Deloitte
What's the story
A recent report by Deloitte has revealed that Indian enterprises are leading the world in large-scale adoption of artificial intelligence (AI). The 'State of AI in the Enterprise' report for 2026 found that 40% of Indian respondents use AI significantly or fully, well above the global average of about 28%. This shows that Indian organizations are not just testing AI but also using it to achieve immediate productivity and business results.
Budget
Rise in AI budgets expected
The Deloitte report, which is part of a global survey, also found that 94% of Indian organizations expect their AI budgets to rise in the coming year. This indicates a strong commitment toward investing in and integrating AI technologies into their operations. However, despite this aggressive rollout, there remains a significant capability gap as only 0-4% of Indian companies have high levels of AI expertise.
Integration challenges
Regulatory hurdles top challenges for AI integration
The Deloitte report highlights regulatory and compliance demands as the biggest hurdle for AI integration, with 39% of respondents citing it. Resistance to change was another major challenge, with 34% of organizations saying they faced this issue. However, cost (12%) and infrastructure (5%) constraints were not seen as major barriers to scaling up AI adoption in these organizations.
Productivity expectations
Near-term productivity boost anticipated
Despite the challenges, Indian organizations expect to see tangible near-term value from AI. Nearly all respondents (97%) expect an increase in productivity due to the integration of these technologies into their operations. "Indian enterprises are entering a defining phase in their AI journey, where ambition is translating into enterprise-wide execution," said S Anjani Kumar, Partner at Deloitte India.