INDIA’S AI ADOPTION CHALLENGES –
SCIENCE & TECHNOLOGY
NEWS: As artificial intelligence becomes all-pervasive,
transforming a cross-section of verticals, businesses and organisations face
several roadblocks in its adoption
WHAT’S IN THE NEWS?
Roadblocks
in AI Adoption
- Skilled
Manpower Shortage:
- Severe
lack of skilled personnel has forced many organizations to pause or
cancel AI projects.
- Around 31%
of Indian businesses lack the talent required to develop AI.
- Cybersecurity
and Privacy Risks:
- Security
vulnerabilities, hacking, and privacy risks are significant concerns for
organizations using AI.
- Regulatory
Uncertainty:
- Evolving
compliance requirements create complexities in AI integration and
governance.
Governance
Challenges in AI Adoption
- Skill Gap and
Project Stalling:
- 20% of
businesses in India have stalled 51–100 AI projects at the planning stage
due to a skills gap.
- 12% of
businesses have entirely scrapped AI projects.
- Adoption of
Ready-Made AI Solutions:
- Companies
are shifting toward pre-built AI solutions to expedite deployment and
achieve ROI.
- Confidence
and Trust Issues:
- 41% of senior managers and 38%
of employees lack confidence in AI systems.
- 16% of businesses report
customer trust concerns, leading to reduced investments in AI (57% of
respondents).
Security
and Privacy Concerns
- Cyber Threats:
- 92% of Indian executives cite
hacking and other vulnerabilities as primary concerns in AI usage.
- Privacy Risks:
- 91% of executives express
significant concerns about the misuse of sensitive data in AI systems.
- Need for
Robust Frameworks:
- Calls for
strong cybersecurity measures and privacy protections to mitigate risks.
Regulatory
and Legal Barriers
- Uncertainty
in Compliance:
- 89% of executives report
challenges arising from unclear or evolving regulatory requirements.
- Legal and
Ethical Concerns:
- 32% of Indian executives
identified regulatory and ethical risks as significant barriers.
- Governance
Gaps:
- Only 1
in 10 organizations have proper governance structures to ensure
trustworthy AI.
Technology
Integration Challenges
- System
Compatibility:
- Nearly 50%
of surveyed leaders struggle to integrate AI with existing systems.
- Awareness and
Upskilling:
- 35% of leaders highlight
insufficient knowledge of AI’s potential, emphasizing the need for
upskilling.
- Readiness for
AI:
- Organizations
face difficulties in aligning AI technologies with operational needs.
Building
Trust in AI Systems
- Proactive
Risk Management:
- Governance
should move beyond compliance to foster accountability and innovation.
- Transparency
and Accountability:
- Organizations
must enhance resilience against security vulnerabilities and adapt to
changing regulations.
- Focus on
Trust:
- Trust-building
efforts are essential for widespread AI adoption and reducing privacy
concerns.
Expert
Insights
- Jayant Saran,
Partner at Deloitte India:
- Advocates
for a balanced approach to AI governance that fosters innovation while
ensuring accountability and transparency.
- Emphasizes
the critical importance of addressing security, privacy, and regulatory
challenges.
Conclusion
·
AI adoption in India faces challenges from skill shortages, security
threats, and regulatory ambiguities.
·
Addressing these challenges requires robust governance frameworks,
proactive risk management, and efforts to build trust.
·
Upskilling, adopting pre-built solutions, and fostering trust through
transparency and security are critical for overcoming these barriers.
Source: https://www.thehindubusinessline.com/info-tech/ai-adoption-in-india-faces-challenges-such-as-skills-gap-cybersecurity-risks-and-regulatory-uncertainties-hindering-implementation-and-trust/article68995100.ece#:~:text=The%20research%20highlights%20critical%20gaps,data%20as%20an%20additional%20obstacle