New Delhi | August 31, 2026 – India’s enterprise artificial intelligence landscape is entering a new phase. After two years dominated by pilot projects, proofs of concept and early experimentation, businesses are increasingly moving toward production-grade AI deployment across core functions.
Data from the NASSCOM AI Adoption Index 2.0 indicates that 87% of Indian enterprises were actively using AI solutions as of December 2025. India recorded a maturity score of 2.45 out of 4 on the index.
More importantly, 40% of Indian enterprises reported significant or full-scale AI adoption, compared with a global average of around 28%.
The numbers suggest that Indian businesses are not simply testing generative AI and automation tools. A growing proportion are integrating AI into operational and strategic workflows.
NASSCOM AI Adoption Index: What the Data Shows
The NASSCOM AI Adoption Index 2.0 surveyed 500 companies across multiple sectors, including BFSI, consumer goods and retail, healthcare, telecom, media and entertainment, energy and utilities, manufacturing, and transport and logistics.
Together, the companies covered by the study represent approximately 75% of India’s GDP, providing a broad view of enterprise AI adoption.
AI deployment is particularly strong in several business functions.
Where Indian Companies Are Using AI
- Product development: 62%
- Strategy and operations: 56%
- Marketing and sales: 55%
- Supply chain: 48%
The increase in enterprises reaching the index’s “Expert” maturity stage is another important indicator. This category represents organisations deploying AI at scale across multiple functions.
According to the study, the number of companies reaching this maturity level has roughly doubled since 2022.
From AI Pilots to Production Deployment
For much of the early enterprise AI cycle, companies were focused on proving whether the technology could work.
Chatbots, automated customer support, document processing and generative AI assistants were often launched as controlled experiments.
The emerging shift is different.
Companies are increasingly evaluating AI based on measurable business outcomes, including productivity, customer experience, operational efficiency and revenue impact.
That transition could become particularly significant for India’s technology services industry.
Indian IT companies are increasingly moving toward AI-led and outcome-based engagements, as enterprise customers demand measurable improvements rather than technology demonstrations alone.
India’s AI Infrastructure Push Is Creating Momentum
The changing enterprise environment is also taking place alongside India’s efforts to build domestic AI infrastructure.
The government’s IndiaAI Mission, approved with an outlay of more than ₹10,300 crore, is designed to strengthen the country’s AI ecosystem through computing infrastructure, datasets, foundation models, skills and startup support.
The programme has also focused on expanding access to high-performance computing resources.
As the supply of AI infrastructure expands, enterprises could have greater opportunities to experiment with and deploy AI solutions without relying exclusively on overseas technology providers.
This is particularly relevant for businesses handling sensitive financial, healthcare, government or customer data.
India-Singapore Dialogue Highlights AI’s Next Phase
The country’s changing AI trajectory was also discussed at the 17th India-Singapore Strategic Dialogue, held on August 27.
The event was organised by the Institute of South Asian Studies at the National University of Singapore, together with the Ananta Centre and the Confederation of Indian Industry.
A dedicated public panel examined how AI could strengthen economic and people-to-people links between India and Singapore.
The discussion comes as the two countries deepen cooperation across technology, infrastructure and investment.
Singapore has also emerged as an important partner for India in areas such as data centres, technology infrastructure and cross-border talent.
The discussion therefore offers another indication that India’s AI progress is increasingly being viewed through the lens of deployment and economic impact, rather than simply model development.
Why Enterprise AI Adoption Matters for Indian Technology Companies
The shift toward scaled AI adoption could create a significant domestic opportunity for Indian technology companies.
IT services providers, SaaS businesses and AI startups can use Indian enterprises as a testing ground for AI products before taking them to international markets.
A stronger domestic customer base can also help startups refine AI applications around India’s specific requirements, including multilingual communication, regulatory compliance, cost efficiency and large-scale customer operations.
For IT services companies, meanwhile, increased enterprise adoption could accelerate the transition from traditional technology outsourcing toward AI-enabled transformation and outcome-based contracts.
AI Adoption Is Rising, but Maturity Remains Uneven
Despite the positive indicators, India’s enterprise AI journey is far from complete.
A maturity score of 2.45 out of 4 indicates considerable room for improvement.
AI adoption is also uneven across business functions and sectors. While product development and strategy are seeing significant deployment, other parts of the enterprise remain at earlier stages of adoption.
Companies must also address issues around data quality, cybersecurity, governance, employee skills and return on investment before AI can become deeply embedded across entire organisations.
The next stage of India’s AI story will therefore not be measured simply by the number of companies using AI.
It will be measured by how deeply AI becomes integrated into business operations and whether those deployments deliver sustainable economic value.
The Bigger Picture: India Is Entering the AI Scale-Up Era
The latest NASSCOM data points to an important transition in India’s enterprise technology landscape.
The conversation is gradually moving from “Should we use AI?” to “How quickly can we scale it?”
With enterprise adoption increasing, government-backed infrastructure expanding and Indian technology companies developing increasingly specialised AI solutions, 2026 could mark an important inflection point for India’s AI economy.
The challenge now is execution.
For Indian businesses, the winners may not necessarily be those that launch the most AI pilots — but those that successfully turn AI into a repeatable, measurable and scalable business capability.
Ruchi Kumar is the associate editor at Entrepreneur News Network and TVW News India, where she leads editorial strategy, brand storytelling, and startup ecosystem coverage. With a strong focus on innovation, business, and marketing insights, he curates impactful narratives that spotlight India’s evolving entrepreneurial landscape. She has written extensively on fintech, AI and emerging startups.