Artificial intelligence (AI) has gripped the world’s attention as a groundbreaking technology poised to revolutionize every aspect of our lives. Therefore, tech companies are leaving no stone unturned in training their employees on AI to capitalize on its potential. With over 1.4 billion people, India is investing heavily in upskilling top talent. However, amidst these endeavours, the country grapples with a significant talent shortage in core AI products and services.
Tata Consultancy Services, India’s largest tech company, recently announced the successful training of 350,000 employees in AI skills. Similarly, Infosys boasts that eight out of ten employees are AI-ready, while Accenture is actively upskilling 250,000 employees in AI, and HCLTech has trained 50,000 employees. Looking ahead, Microsoft India aims to skill 2 million people in AI by 2025, while IBM has committed to training 2 million people by 2026.
Despite these impressive numbers, the reality remains stark.
According to data from specialist staffing firm Xpheno, the pool of senior AI engineers actively building core AI products and services in India is less than 2,000. These professionals are crucial for driving innovation and advancing AI technologies. Core AI products and services encompass various aspects, including AI-based apps, tools, and platforms.
However, what truly catches the eye is the active pool of talent in India with the minimum required skills, experience, and exposure to AI, numbering just under 21,000 individuals.
In contrast, the tech industry heavyweight Nasscom claims a much larger pool of 650,000-700,000 individuals trained in AI across top-tier tech companies. This stark contrast underscores a significant gap between reported training figures and the actual availability of skilled professionals in the field.
Now, the question arises: How does the reported number of trained AI professionals stack up against the actual talent pool actively driving AI innovation in India? Where lies the disconnect? Let’s find out!
AI Talent Gap or Something Else?
Experts speaking to Moneycontrol shed light on the multifaceted nature of AI skilling. He explains that AI training given to employees in IT companies is beyond merely developing core technologies to embedding and integrating AI into daily tasks and productivity enhancement. Moreover, this training transcends traditional engineering roles, encompassing functions as diverse as marketing and human resources.
“At the heart of it is obviously data science, but there are other things like machine learning, natural language processing, opticals and so on… these are specific skills, which not all engineers are trained in. They (engineers) do different things. For instance, a testing guy or development guy or a Java development guy may know Java but will not know how to apply machine learning to it all out. So those are things we are teaching people,” said Jagdish Mitra, board member of the non-profit National Skill Development Corporation.
Another contributing factor to the limited pool of AI-skilled professionals focusing on core product development is the dominance of service-oriented giants in India’s tech industry. Companies such as Infosys, TCS, and Accenture are thriving in delivering solutions to global clients. This inclination towards service over product development has shaped the country’s approach to technology.
Rather than solely focusing on creating novel innovations, Indian professionals excel at effectively leveraging existing technologies. They are adept at harnessing the power of tools and platforms developed elsewhere and adapting them to meet diverse needs across industries.
As a result, the number of senior AI-trained professionals engaged in core product development is significantly lower compared to those undergoing training in areas such as marketing, BPO, and sales. In these sectors, AI products like ChatGPT are extensively integrated to improve operational efficiency and productivity.
Huge Demand for AI Talent
The demand for skilled AI professionals in India is surging as the country strives to keep pace with technological advancements. Tomer Cohen, LinkedIn’s chief product officer, revealed that Indian professionals are leveraging AI skills more extensively than anywhere else in the world.
Over the past 12 months, India’s technology industry has witnessed remarkable growth in AI/ML jobs, exceeding 15%. However, the demand for jobs in the core engineering of AI has seen an even more remarkable increase, rising by an impressive 67% YoY, as unveiled in a recent report by NASSCOM and Boston Consulting Group.
Interestingly, the surge in AI investment and the burgeoning jobs are driving India’s AI market to new heights. It is projected to reach approximately $17 billion by the end of 2027, with a Compound Annual Growth Rate (CAGR) of 25-35%.
There is a big window of opportunity for all job seekers and existing employees in tech firms to leverage India’s burgeoning artificial intelligence (AI) market. By enhancing their skill sets and participating in reskilling programs, they can position themselves for success in this thriving sector.
