GS-III: Developments and applications of IT
Why in the News?

Artificial Intelligence (AI) and Machine Learning (ML) have rapidly evolved from academic concepts to transformative technologies shaping economies, governance, healthcare, and human interaction. In October 2025, major announcements such as India’s National Artificial Intelligence Mission (NAIM) and global advancements like OpenAI’s GPT-5 release have reignited debates on the promise and peril of AI.

More About the News

• While AI offers solutions in automation, precision medicine, climate modelling, and governance, it also raises critical concerns over job displacement, algorithmic bias, and data ethics. 
• For a developing country like India, AI is not just a technological frontier but a strategic necessity—crucial for achieving Viksit Bharat @2047.

About Artificial Intelligence and Machine Learning

• Artificial Intelligence (AI) is the simulation of human intelligence in machines that are programmed to think, learn, and make decisions.
• Machine Learning (ML) is a subset of AI that enables systems to learn patterns from data and improve over time without explicit programming.

In simpler terms, AI is the mind; ML is the method through which machines acquire that mind’s intelligence.

Difference Between AI and ML

Current Status of AI and ML

• Global Perspective:
  
  • According to PwC’s Global AI Study (2025), AI could contribute $15.7 trillion to the global economy by 2030.
  • The World Economic Forum (WEF) estimates AI will displace 83 million jobs by 2030 but create 97 million new roles, especially in data science and automation management.
  • At the same time, the machine learning market is expected to grow from $26 billion in 2023 to $225 billion by 2030, expanding at nearly 28% annually.
    
• India’s Perspective:
  
  • NASSCOM (2025) estimates that AI could add $967 billion to India’s GDP by 2035.
  • India ranks fifth globally in AI research publications.
  • Over 45,000 startups in India are leveraging AI across sectors like agriculture, healthcare, fintech, and logistics.

Applications of AI and ML

1. Healthcare

• DeepMind (Google) developed an AI capable of diagnosing over 50 eye diseases with expert-level accuracy.
• IBM’s Watson for Oncology assists doctors in selecting cancer treatments.
• India’s AI for TB and COVID surveillance programs have enhanced disease detection through predictive analytics.

2. Agriculture

• The Indian government’s AI for Agriculture initiative uses satellite and drone imagery to monitor crop health and predict yields.
• Microsoft’s AI Sowing App in Andhra Pradesh improved crop productivity by 30% by advising farmers on optimal sowing times.
  

3. Governance and Urban Planning

• Smart Cities Mission incorporates AI for traffic management, waste monitoring, and flood prediction.
• Singapore’s Smart City Model uses AI-driven sensors to reduce congestion and optimize public transport.
  

4. Industry and Manufacturing

• Industry 4.0 technologies integrate AI with robotics and IoT.
• Amazon’s robotic warehouses automate sorting while creating new jobs in system maintenance and logistics.

5. Financial Services

• AI-driven fraud detection and credit scoring models have improved accuracy in banking.
• Reserve Bank of India’s SupTech and RegTech platforms employ AI for regulatory compliance.
  

6. Environment and Climate

• Microsoft’s AI for Earth and Google Earth Engine use ML to track deforestation, predict floods, and manage natural resources.
• AI models are being used to predict monsoon behaviour, crucial for India’s agriculture.

7. Defence and National Security

• AI in surveillance, drone reconnaissance, and cybersecurity strengthens India’s border management and intelligence systems under IAF’s Mehar Baba initiative.

8. Education and Skill Development

• Adaptive learning platforms like Byju’s and Coursera personalize content based on AI-driven student analytics.

The Indian govt SOAR (Skilling for AI Readiness) initiative to equip school students (Class 6-12) and teachers with the fundamental knowledge and practical skills in AI.

Challenges in AI and ML

• Job Displacement: Automation risks displacing low-skilled jobs, especially in manufacturing and services.
• Algorithmic Bias: AI models trained on biased datasets reproduce social and gender inequalities.
• Data Privacy: Inadequate safeguards under India’s data protection laws could lead to misuse of personal information.
• Digital Divide: Uneven access to AI technologies widens inequalities between rural and urban populations.
• Ethical Concerns: “Black box” algorithms lack transparency and accountability.
• Skill Gap: The global demand-supply gap for AI professionals may reach 85 million jobs by 2030.
  • Only 2% of India’s workforce is formally skilled in digital technologies.
• High Cost of Infrastructure: AI infrastructure—computing power, data centers, and storage—is capital-intensive.
• Regulatory Vacuum: India lacks a comprehensive AI Governance Framework comparable to the EU AI Act (2024).
  

What Drives and Restrains AI Awareness?

Why India Should Focus on AI and ML?

• Economic Growth Driver: AI is projected to increase India’s GDP growth rate by 1.3 percentage points annually by 2030.
• Employment Creation: Potential to generate 20 million jobs in AI-related industries and services.
• National Security: AI-powered surveillance, cybersecurity, and predictive defence mechanisms enhance strategic readiness.
• Social Impact: AI can transform healthcare access, education delivery, and agricultural resilience.
• Global Competitiveness: With the world transitioning to a knowledge-driven economy, AI leadership is key to India’s Viksit Bharat 2047 vision.
  

Steps Taken by the Indian Government

• National Programme on Artificial Intelligence (NPAI): Implemented by NITI Aayog, focusing on five sectors — agriculture, healthcare, education, smart cities, and transportation.
• IndiaAI Mission (2024): A ₹10,300 crore mission under MeitY to democratize AI resources, develop indigenous datasets, and promote “AI for All”.
• AIRAWAT (AI Research, Analytics, and Knowledge Assimilation Platform): India’s first cloud-based AI supercomputing infrastructure supporting research and startups.
• Responsible AI for Youth Initiative: Trains students in ethical and practical AI applications in collaboration with Intel.
• Digital India Programme: Promotes digital infrastructure and skill-building, laying the groundwork for AI adoption.
• Skilling Initiatives: The Pradhan Mantri Kaushal Vikas Yojana (PMKVY) now includes modules on AI and ML.
• Bhashini Project: Uses AI for language translation and voice recognition across 22 Indian languages to promote digital inclusion.
• Startup India and Make in India: Encourage AI-based startups and innovation ecosystems through tax incentives and venture support.
  

Way Forward

1. Ethical and Inclusive AI

• Establish a National Ethical AI Council to oversee fairness, accountability, and transparency.
• Mandate Algorithmic Impact Assessments for public sector AI projects.

2. Skilling and Reskilling Workforce

• Integrate AI & ML curricula in schools, universities, and vocational programs.
• Partner with industry leaders for AI apprenticeships and micro-credential courses.

3. Strengthening Research and Innovation

• Expand the AIRAWAT initiative into regional AI centers.
• Promote public–private–academic partnerships for indigenous AI development.
  

4. Building AI Infrastructure

• Invest in computing power, cloud storage, and open-access data platforms.
• Establish regional AI data hubs to support startups.
  

5. Legal and Regulatory Framework

• Enact a National AI Policy aligned with global ethical norms (EU AI Act, OECD Guidelines).
• Implement data protection laws ensuring individual privacy and consent.
  

6. Promoting “AI for Social Good”

• Focus on AI solutions for agriculture, education, climate adaptation, and healthcare in rural India.
• Encourage women and marginalized groups in AI innovation ecosystems.
  

Conclusion

AI and ML represent the next great leap in human progress — a technological revolution that can either empower humanity or entrench inequalities, depending on how it is governed. For India, the challenge is to harness AI not just for growth, but for inclusion, ethics, and sustainability.
By aligning innovation with values, and technology with empathy, India can transform AI from a tool of disruption into a force for equitable development and global leadership.

Sample UPSC Mains Question

“Artificial Intelligence holds immense potential for economic transformation but also poses ethical and social challenges. Discuss the role of India’s AI policy in ensuring responsible and inclusive AI growth.”

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