India’s $277bn AI bet- Why it hasn’t moved the GDP needle yet? Challenges and opportunities

With the surging AI usage, the demand for data centers is also increasing. India, in the recent AI summit held in New Delhi, saw more than $277 billion investment into AI infrastructure – mostly for the data centres. However, Nomura noted that these data centres have not contributed to the countries’ GDP much.

What’s the big prognosis going forward? The international brokerage house highlighted the key challenges compared to the opportunities in the AI-led investments thus far.