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India ranks first in adoption of Gen AI technology across Asia Pacific: Deloitte survey

A projected 182% increase in daily usage over the next five years, along with the business impact of Gen AI adoption, indicates a trajectory towards deeper integration.

<div class="paragraphs"><p>(Source: Steve Johnson/unsplash)</p></div>
(Source: Steve Johnson/unsplash)
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India is a frontrunner among 13 countries in the Asia-Pacific for generative artificial intelligence use and adoption, with 93% of students and 83% of employees actively engaging with the technology, according to a recent report by Deloitte.

A projected 182% increase in daily usage over the next five years, along with the business impact of Gen AI adoption, indicates a trajectory towards deeper integration. This is echoed in the belief of 75% of Indians regarding Gen AI’s potential to elevate Asia-Pacific’s role in the global economy, with 83% expressing confidence in its ability to enhance social outcomes.

The robust adoption of gen AI has been driven by tech-savvy, young employees, termed in the report as “Generation AI,” which presents new challenges and opportunities for employers as they adapt to these changes. As per the report, Generation AI is leading the way in saving work hours, creating new skill development opportunities, creating more sustainable workloads and increasing productivity.

According to the report, 86% of Indian users reported faster task completion with gen AI, 85% noted improved output quality, and 83% emphasised enhanced ideation capabilities.

Key findings from the report include:

  • Generation AI Leads The Way: Students and employees lead gen AI adoption across Asia-Pacific, but only 50% believe their managers know they are using it.

  • Significant Impact: Gen AI could significantly affect 17% of working hours across Asia-Pacific, amounting to almost 1.1 billion work hours annually.

  • Traditional Technology Hierarchy: This may be disrupted with the rapid adoption of gen AI in developing countries at 30%, which is higher compared with developed economies across Asia-Pacific.

  • Talent Benefits: Gen AI users across Asia-Pacific save around 6.3 hours per week, with Indian users saving 7.8 hours per week, enabling employees to acquire new skills.

  • Saves Time: Gen AI can support more sustainable workloads and productivity, with 41% of time savers believing this has improved their work-life balance.

  • Managing Risks: Three-quarters of businesses are falling behind on gen AI adoption, according to their own employees.

“To fully use this transformative technology, it is crucial to address implementation challenges and deepen our understanding of its capabilities. Despite its clear benefits, obstacles such as implementation complexities, risk aversion and knowledge gaps impede widespread adoption,” said Anjani Kumar, partner, consulting, Deloitte India.

“Leaders should use these technologies not only for efficiency gains but also to fundamentally reshape business models and processes,” Kumar added.

Deloitte also mapped 18 industries in terms of the extent of gen AI’s impact—the “bang”—and how soon those industries will be affected—the length of the “fuse.” It is estimated that $5 trillion of economic activity within industries will face a big bang, short fuse scenario.

Finance, information and communications technology and media, professional services and education are the four industries affected, which account for an average of one-fifth of the economies of each market in Asia-Pacific. These industries are also where over 40% of students are using gen AI to start their careers.

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