The India Opportunity for Swedish AI and Digital Solutions
WHAT
India is rapidly emerging as a global leader in artificial intelligence (AI) and digital technologies, with its AI market projected to reach USD 17 billion by 2027, making it one of the fastest-growing AI economies globally. This growth is significant when viewed in context: while Europe’s AI market is larger and mature, India’s trajectory positions it as a key peer in Asia alongside hubs like Singapore.
India’s digital public infrastructure (DPI) — Aadhaar, UPI, DigiLocker, and ONDC — provides a scalable foundation for AI deployment at population scale. With 700+ million internet users and widespread smartphone penetration, India generates vast data volumes essential for AI development. Talent is another differentiator: India employs over 600,000 AI professionals, expected to grow to 1.25 million by 2027, representing 16% of the global AI talent pool, second only to the United States.
Momentum is accelerating with late-2025 private commitments of USD 52 billion from Big Tech to expand cloud and AI infrastructure, skills, and sovereign-ready capabilities, alongside the government’s IndiaAI Mission (USD 1.2 billion) to subsidize compute and enable national-scale model training. These investments are clustering around hyperscale data centres and national compute platforms, moving India from fragmented pilots to platformed capacity. Compared to Europe’s policy-driven approach under the EU AI Act, India’s combination of scale, DPI, talent, and capital gives it distinct execution momentum.
As demand for industrial AI, digital infrastructure, and advanced platforms rises, opportunities are clustering in manufacturing corridors for predictive maintenance and quality AI, data centre hubs for AI-ready infrastructure, and DPI-integrated platforms for payments, identity, and multilingual AI models. Swedish companies — strong in industrial automation, trusted AI governance, and advanced platforms — can leverage these conditions to scale solutions, validate technologies, and co-develop globally impactful AI innovations..
HOW
Join the India–Sweden AI & Digitech Platform to connect with leading Indian AI companies, digital ecosystem players, and policymakers. The platform enables market access and business growth through insights, delegations, roundtables, matchmaking, and cross-border collaboration, including a dedicated Swedish business delegation to India to engage with industry leaders, investors, and innovation partners.
CONTACT US
For more information contact Akhil Govind at Akhil.govind@business-sweden.se.