New Delhi – Artificial intelligence is not a fleeting trend but a fundamental economic force already reshaping global markets, according to Dr. Aaron Ronnie Chatterji, Chief Economist at OpenAI. Speaking at the India Today AI Summit , Chatterji emphasized India’s potential to become a leader in the AI revolution, provided it prioritizes strategic investments in skills development, infrastructure, and public trust.
Chatterji dismissed concerns that AI represents an economic bubble, drawing parallels to previous technological shifts throughout history. “I have studied prior economic recessions, bubbles and technological waves from the printing press to the semiconductor to the internet,” he stated. “AI is real.” He pointed to the widespread adoption of AI tools and the tangible value users are deriving from them as evidence of its staying power.
The scale of AI’s current impact is significant. OpenAI currently boasts 900 million weekly active users worldwide, with India accounting for 100 million of those users. The company also serves a million businesses globally, generating billions of dollars in revenue directly attributable to AI applications. India, Chatterji noted, is experiencing particularly rapid growth, with a year-on-year increase of 2.5 times in AI usage.
Within India, the adoption of AI is particularly strong in the fields of coding and data analysis – areas directly linked to productivity gains. This suggests a pragmatic approach to AI implementation, focused on immediate economic benefits rather than speculative ventures.
While acknowledging that India currently lags behind the United States and China in terms of AI infrastructure investment, Chatterji expressed optimism about the country’s prospects. “Massive investments are going to be required in India to play in the intelligence age,” he conceded, “But we are still in the early innings.” He highlighted India’s inherent advantages, including a robust pipeline of over one million STEM graduates annually and a well-developed digital public infrastructure.
The Economist reported in that India is already OpenAI’s second-largest market by user numbers and could soon surpass all others. OpenAI responded to the Indian market by launching a more affordable version of its chatbot specifically tailored for Indian users in August of the same year.
The India Today AI Summit itself signaled a shift in focus, aiming to move beyond the competitive “model race” – the pursuit of ever-more-powerful AI models – and concentrate on the practical scaling of AI solutions. This reflects a growing recognition that widespread adoption and real-world impact are more crucial than simply achieving technological superiority.
Chatterji’s remarks come at a critical juncture for India’s economic development. The country is striving to establish itself as a global hub for technology and innovation, and AI is widely seen as a key enabler of that ambition. However, realizing this potential will require sustained and strategic investment, as well as a concerted effort to address potential challenges related to workforce training, data privacy, and ethical considerations.
The rapid growth of AI in India also has broader geopolitical implications. As a major emerging economy with a large and increasingly tech-savvy population, India’s success in the AI space could reshape the global balance of power. A strong Indian AI sector could provide a counterweight to the dominance of the United States and China, fostering a more multipolar technological landscape.
The focus on coding and data analysis within India’s AI adoption suggests a strategic alignment with the country’s existing strengths in information technology and business process outsourcing. This pragmatic approach could allow India to leverage its existing capabilities to rapidly scale AI solutions and capture a significant share of the global market.
However, the need for substantial investment in infrastructure remains a significant hurdle. Bridging the gap with the United States and China will require both public and private sector funding, as well as a supportive regulatory environment. The success of India’s AI ambitions will depend on its ability to attract investment, foster innovation, and cultivate a skilled workforce.
The emphasis on building trust in AI is also noteworthy. As AI systems become more pervasive, addressing concerns about bias, fairness, and accountability will be crucial for ensuring public acceptance and maximizing the benefits of the technology. India’s digital public infrastructure, which provides a secure and accessible platform for delivering government services, could play a key role in building this trust.
