India is on track to become a global AI talent hub but faces a significant skills gap. By 2027, AI job openings could exceed 2.3 million, while the talent pool may only reach 1.2 million. Bain & Company highlights the need for urgent reskilling to meet this demand. Despite growing job opportunities and salaries, the shortage of qualified professionals could hinder AI adoption. Experts urge businesses to prioritize upskilling and innovative hiring strategies to address this challenge and seize the opportunity.
India stands poised to emerge as a global powerhouse for AI talent. However, this promising trajectory faces a critical hurdle—a growing skills gap. A recent report by global consultancy firm Bain & Company warns that unless immediate measures are taken to upskill the workforce, the country could experience a shortage of over one million skilled AI professionals by 2027.
The report emphasizes that India must prioritize reskilling a significant segment of its current talent pool to meet the surging demand for AI expertise.
"India has a unique opportunity to position itself as a global AI talent hub. However, by 2027, the job openings in AI are expected to be 1.5–2x of the talent availability. The challenge -- and opportunity -- lies in reskilling and upskilling a significant portion of the existing talent base on emerging technology tools and skillsets," said Saikat Banerjee, partner and leader of Bain & Company's AI, insights, and solutions practice in India.
According to the report, AI-related job vacancies in India could exceed 2.3 million by 2027, while the available talent pool is projected to grow to approximately 1.2 million. This disparity highlights the urgent need for large-scale reskilling initiatives to bridge the gap.
Since 2019, AI-related job postings in India have grown by a remarkable 21% annually, accompanied by an 11% yearly rise in salaries for these roles. Despite the lucrative opportunities, the supply of qualified professionals has not kept pace with demand, creating a widening gap that could hinder AI adoption across industries.
A report by news agency PTI also noted that business leaders worldwide have identified a lack of in-house AI expertise as a key barrier to successfully integrating generative AI technologies. This global talent shortage is expected to persist until at least 2027, affecting markets in varying degrees.
Experts underline the importance of rethinking hiring approaches and fostering a culture of lifelong learning within organizations to address this challenge.
“The AI talent shortage is a significant challenge, but not invincible. Addressing it requires a fundamental shift in how businesses attract, develop, and retain AI talent,” said Banerjee.
By investing in reskilling and upskilling efforts, India can not only bridge the talent gap but also solidify its position as a leading global hub for AI innovation and expertise.
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