India's AI spending jumps 119% as oversight remains weak
AI is getting a bigger slice of India's tech budgets, with spending jumping 119% in the past year, beating global growth.
Right now, AI makes up about 16.6% of IT budgets, and that is set to reach 21.3% by 2027.
Still, only 22% of companies have solid ways to check for AI risks, so most are playing catch-up on safety and oversight.
Few Indian firms automate AI workflows
Even though more than half of Indian organizations use AI agents, just 11% have fully automated workflows, with transparency, misinformation, regulatory and compliance complexity, and data privacy and security among the biggest concerns.
Misinformation is a top concern for 60%, and regulatory headaches trouble another 55%.
Upgrading old systems isn't easy either; only 18% have replaced fragmented legacy systems with an integrated platform, and AI-enabled workflows scored just 41 out of 100 in the study.
India's AI governance score trails APAC
With India's AI governance score lagging behind regional leaders (55 vs. APAC's 78), experts say stronger data links and clearer rules are needed.
Improving these could help organizations trust their AI more and finally unlock its real potential.