Will India become the world's 'AI factory'? Cloud sets a record for the use of AI
India ranks second globally in cloud AI adoption, behind only the US. Fifty percent of Indian users are using the cloud for software and web development—nearly double the global average. Given this, Anthropic is now planning to establish a strong presence in Bengaluru. Learn why Indian developers are turning to the cloud.
According to Anthropic's latest Economic Index report, India has emerged as the world's second-largest market for cloud AI use, with software and web development being the main focus of generative AI use.
These findings are part of Anthropic's fourth Economic Index report, released on January 15. The AI firm said that India ranks second globally, behind only the US, in overall cloud AI use, while its use is concentrated in a select few countries such as Japan, the UK, and South Korea.
Where is AI used the most in India?
In India, nearly half of Cloud.AI usage is related to technical tasks, with 45.2 percent of total usage involving computer and mathematical tasks. Anthropic said that five of the top 10 Cloud.AI
use cases in India fall under software and web development, highlighting that developers are increasingly relying on AI for routine coding and debugging needs.
The report notes that an interesting usage pattern in India is the intensity of web development. Indian users are twice as likely to use the cloud for CSS, HTML, and UI styling tasks compared to the global baseline, and 1.7 times more likely to rely on it to build and debug web applications.
Use of AI for career progression
Anthropic's report also highlights other India-specific use cases in emerging tech areas, including the development of AI systems like chatbots and workflow automation, where Indian users are 1.5 times the global average. Database administration and data engineering also stood out significantly, with usage 1.4 times the global average.
Beyond software-related tasks, Cloud.AI is also being used for career progression in India. Anthropic said that job search and professional development are among the top tasks, along with academic work in STEM subjects and business planning for entrepreneurship.
The report also states that India's usage intensity remains low relative to its working-age population. Anthropic's AI Usage Index (AUI), which measures whether cloud penetration is over- or under-represented compared to population size, puts India at 0.22, indicating lower-than-expected usage despite its high overall ranking.
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