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India has been ranked 10th globally in terms of private sector investments in Artificial Intelligence (AI) in 2023, according to the Technology and Innovation Report 2025, released by the United Nations Conference on Trade and Development (UNCTAD). The report highlights the evolving global AI landscape and underscores India's growing role in frontier technologies.

About the Technology and Innovation Report

• Published by: UNCTAD (United Nations Conference on Trade and Development).
• Objective: To provide policy-relevant insights on emerging issues in science, technology, and innovation (STI), especially from the perspective of developing countries.
• Theme of the 2025 Edition: “Inclusive Artificial Intelligence for Development”.
• Purpose: Aims to assist policymakers in formulating inclusive and equitable STI policies amid the rapid expansion of AI technologies.

Key Highlights of the 2025 Report

• India’s Position:
  • Ranked 10th globally for private AI investments, amounting to $1.4 billion in 2023.
  • Among developing countries, only India and China feature prominently in global AI investments.
  • India’s growing prominence reflects its rising technological capacity and startup ecosystem.
• Global Investment Trends:
  • The United States led global AI investment with $67 billion (70% of global private investment).
  • China ranked second with $7.8 billion.
  • The report reveals that just 100 companies, mainly from the US and China, account for 40% of global private R&D investment in AI, signifying a concentration of technological power.
• AI and Global Employment:
  • The report warns that up to 40% of global jobs could be influenced by AI-driven automation, necessitating adaptive policies, especially in the Global South.
• Governance Gaps:
  • 118 countries, mostly from the Global South, are not participating meaningfully in global AI governance dialogues, highlighting a digital divide in international policy spaces.
• Recommendations for Developing Countries:
  UNCTAD urges developing nations to strengthen three critical areas, termed “key leverage points”:
  • Infrastructure: Improve digital and physical infrastructure.
  • Data Ecosystems: Ensure data accessibility, quality, and sovereignty.
  • Human Capital and Skills: Invest in AI-related education and skilling.
• India’s Broader Performance:
  • Ranked 36th out of 170 countries on the Readiness for Frontier Technologies Index 2024, an improvement from 48th in 2022.