NITI Aayog Maps AI-Led Path to Power India’s ‘Viksit Bharat’ Vision

Artificial Intelligence represents not just another wave of digital adoption but a “structural rewrite of industries” , said Debjani Ghosh , Distinguished Fellow at NITI Aayog , while unveiling the NITI Frontier Tech Hub roadmap. She emphasised that India’s technology sector is at a decisive inflection point , where companies must rapidly shift from legacy service-delivery models to AI-led business architectures . Analysts note that this shift mirrors global trends in which AI is reshaping productivity, supply chains and service delivery, pushing firms worldwide toward automation, predictive analytics and platform ecosystems.

Reflecting on India’s technology journey, Ghosh pointed out that the country’s IT services industry has retained global leadership for over three decades by constantly reinventing itself during downturns such as the dot-com bust, the global financial crisis and the pandemic. In the AI era, she argued, the next transformation must involve moving from labour-arbitrage models to outcome-driven value creation , and from low-end coding services to IP-led platforms, products and AI solutions . Industry experts widely agree that this transition is already underway, with Indian firms investing in generative AI, automation platforms and domain-specific AI tools to remain competitive against global technology majors.

The roadmap released by NITI Aayog projects that India’s technology services sector could reach 750–850 billion dollars in annual revenue by 2035 , potentially raising its contribution to GDP to 7–8 percent and increasing India’s share in the global technology services market to over one-quarter . However, the report highlights a 250–300 billion dollar growth gap , warning that without coordinated action on innovation, skills and policy reforms, the sector may fall short of its potential. To close this gap, the think tank calls for stronger public-private collaboration, deeper global integration and faster adoption of frontier technologies across industries.

The report identifies healthcare technology, semiconductor ecosystems, cybersecurity and deep-tech innovation as strategic growth engines. It recommends that firms adopt a “Human + Agent + Platform” model , combining skilled professionals, AI systems and scalable digital platforms to boost productivity and innovation. Partnerships with foreign firms, increased AI-led mergers and acquisitions , and stronger participation in global value chains are expected to accelerate India’s climb up the technology ladder. Observers say such moves could help Indian companies transition from service providers to solution creators and technology owners .

To enable this transformation, NITI Aayog proposes launching a nationwide AI Talent Mission , aimed at reskilling millions of workers, strengthening university-industry collaboration, supporting startups with simplified regulations and expanding digital infrastructure. These initiatives align with India’s broader digital policy push—including semiconductor incentives, data-governance frameworks and AI research funding—designed to position the country as a major global technology hub. The think tank expressed confidence that, if implemented effectively, these measures would allow the technology sector to act as a central pillar of economic expansion and help India move closer to its long-term “Viksit Bharat by 2047”