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India’s AI Talent Shortage: Urgent Need for Skilled Professionals

India is currently grappling with a significant shortage of artificial intelligence (AI) professionals, posing a challenge to its ambitions of becoming a global AI powerhouse. Despite a burgeoning AI market and increasing adoption across industries, the supply of skilled AI talent is falling short of demand.


The AI Talent Gap: A Growing Concern

Recent reports highlight a stark disparity between the demand for AI professionals and the available talent pool in India. According to a study by Quess Corp, for every 10 open positions in generative AI (GenAI), there is only one qualified engineer available. This indicates that only 49% of the demand for AI talent is currently being met. The report also notes a 45% year-on-year increase in demand for AI and data talent between March 2024 and March 2025, particularly in emerging fields like GenAI, natural language processing, and computer vision.


Projected Shortfall by 2027

Looking ahead, the situation appears even more concerning. A joint report by Deloitte India and Nasscom projects that India’s AI talent pool will grow from approximately 600,000–650,000 in 2022 to over 1.25 million by 2027. However, the demand for AI professionals is expected to outpace this growth, potentially leading to a significant talent gap.

Similarly, a report by Bain & Company estimates that over 2.3 million AI-related job openings could arise in India by 2027. With the talent pool projected to reach around 1.2 million by then, this could result in a shortfall of over 1 million skilled AI professionals.


Industry Response: Upskilling and Training Initiatives

In response to the growing talent gap, Indian corporations are increasingly investing in upskilling their workforce. Companies such as Vedanta Group, Schneider Electric, Accenture India, SAP Labs India, and others have initiated comprehensive AI training programs for employees at all levels. These initiatives aim to enhance AI literacy and ensure that employees are equipped to work alongside AI tools and processes.

Furthermore, major IT firms like TCS and Wipro have trained hundreds of thousands of employees in AI and related technologies. Microsoft has also committed to providing AI skilling opportunities to 2 million people in India by 2025. Storyboard18


Government Initiatives and Future Outlook

The Indian government is also taking steps to address the AI talent shortage. The “IndiaAI Mission,” with a budget of ₹10,372 crore, aims to foster AI development across sectors such as healthcare, agriculture, and smart cities. Additionally, the establishment of AI Centers of Excellence in collaboration with leading institutions is expected to bolster AI research and talent development.

Despite these efforts, the talent gap remains a pressing issue. Bridging this gap will require sustained collaboration between industry, academia, and government to develop a robust pipeline of AI professionals.

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