Ever since the launch of ChatGPT in 2022, AI usage in India has evolved significantly in both scale and variety. Initially limited to business applications in a few companies, AI adoption has since expanded sharply, with India accounting for 13.5 per cent of ChatGPT’s 700 million weekly users.

A recent TCS-CII survey found that 69 per cent of organisations now use AI-enabled products and services. Innovation has surged as well, with 83,059 AI patents filed between 2019 and 2025, compared to just 3,931 from 2010 to 2018. This rapid diffusion of AI is intensifying its interaction with economic agents across the macroeconomy, giving rise to an evolving AI ecosystem. This ecosystem is not only shaping AI’s trajectory but is also being reshaped by AI’s impact on labour markets, governance, and infrastructure. While the spillover effects of these interactions will influence the broader economy and will require policy vigilance, they also create significant opportunity areas for India to enter and add value in the global AI race. Globally, emerging AI ecosystems are essential for the ethical, equitable, and effective adoption of AI.

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These ecosystems, comprising the labour market, digital infrastructure, and governance, are not only individually necessary but also complementary. Each element both influences and is influenced by AI, shaping the broader macroeconomy and national competitiveness. Securing the AI ecosystem therefore requires more than simply establishing these core components but the policies need to be dynamic, such that they account for ongoing interactions between AI and its users. This is particularly critical in India, where AI adoption is already widespread but uneven across socio-economic groups. Continuous policy vigilance is therefore needed to prevent potential macroeconomic risks that could affect the........

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