India must bolster AI education and research to stay globally competitive, warns NITI Aayog report

India could lose ground in the global competition for artificial intelligence (AI) talent unless it urgently strengthens its academic and research ecosystem, according to a new report by NITI Aayog on AI job creation.

Despite the rapid rise in AI interest, the country produces fewer than 500 AI-related PhDs each year—significantly trailing behind global leaders like China and the United States. The report underscores a major gap in India’s academic pipeline, noting that most AI-focused degree programmes are limited to a few top-tier institutions, while the majority of engineering and science colleges lack dedicated AI departments or curricula.

While initiatives such as the IndiaAI PhD Fellowship mark positive progress, they remain limited in scope, offering only about 100 fellowships annually. The report also highlights the scarcity of interdisciplinary AI research ecosystems in India, which hampers innovation and cross-domain collaboration.

To address these challenges, NITI Aayog has recommended setting up specialised AI departments and Centres of Excellence, expanding AI+X programmes that blend AI with other fields, and integrating AI education into both school and undergraduate curricula.

The report further suggests promoting faculty–industry exchanges, increasing PhD fellowships and scholarships, and offering incentives to build sustainable careers in AI research.

One of the report’s most concerning findings is that nearly 44% of India’s top AI researchers are based abroad, attracted by better funding, stronger research infrastructure, and clearer career trajectories.

It points to successful international models such as the US’s university–industry research synergy, China’s Thousand Talents Plan, the UK’s Global Talent Visa, and Taiwan’s Yushan Fellow Program, all of which provide targeted incentives to retain top scientific talent.

Reflecting these insights, the Telangana Education Commission, in drafting its new education policy, has agreed to introduce AI education at the school level and establish dedicated AI laboratories.

Experts stress that early exposure to AI, coupled with strong higher education pathways and adequate funding, is essential for developing a robust domestic talent pool.

As AI continues to redefine industries and economies worldwide, the report cautions that India’s window of opportunity to cultivate world-class researchers is shrinking fast.

Without swift and strategic action, experts warn, the nation risks both a talent drain and a diminished role in shaping the next era of AI-driven innovation.