Indian firms shift AI focus from hype to measurable returns

Indian firms are starting to rethink how much they pour into AI, focusing more on real results than hype.

Even though nearly half have rolled out multiple generative AI tools, over 95% keep their AI budgets below 20% of total IT spending.

Globally, too, tech giants like Meta and Amazon are tightening up, setting usage limits and tweaking models to cut costs as the returns aren’t always matching the investment.

India’s AI investment to rise 45%
India’s overall AI investment is still set to jump by 45% in the next two years, with businesses aiming for smarter, impact-driven projects.

But for startups especially, it’s a mixed bag: only about 9% say they’ve seen clear boosts in sales or conversions from their AI spend.
Now, companies are getting practical, linking every rupee spent on AI directly to productivity or customer experience so that these tools actually deliver value. News Bytes App