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Saurabh Singhavi

Assisting Early-Stag... • 4m

Why Are Only 3% of Indian Factories Using AI While China Surges to 25%? Let’s Break It Down. The Stark Reality: - 3% vs. 25%: Just 3% of Indian factories use AI vs. 25% in China (NITI Aayog, 2023). - Productivity Lag: Indian factories operate at 60% capacity vs. China’s 85% (World Bank). - Cost of Delay: Inefficient manufacturing costs India ₹1.2 lakh crore annually in wasted resources (McKinsey). Why the Gap? 1. MSME Challenges: 95% of Indian factories are small-scale—struggling with upfront costs and tech literacy. 2. Skill Shortage: India trains 40K AI professionals/year; China trains 500K. 3. Infrastructure Hurdles: Only 25% of factories have reliable IoT connectivity vs. China’s 80%. 4. Policy Push: China invests $3B/year in AI for manufacturing; India allocates $100M. The Opportunity: - $15B Market: India’s AI sector is growing at 33% CAGR (NASSCOM). - Affordable Solutions: AI-as-a-service models are slashing costs (e.g., predictive maintenance tools for ₹15K/month). - Global Lessons: Brazil boosted SME productivity by 20% via AI subsidies—can India replicate this? Entrepreneurs: Are you doing anything about it? hashtag#AI hashtag#MakeInIndia hashtag#FutureOfWork hashtag#Innovation hashtag#Manufacturing

4 Replies

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Havish Gupta

Figuring Out • 4m

So the main reason for this is Less Investment and Lack of Skilled labours? if yes, then these issues can easily be solved

1 Reply

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India won't beat china, if we don't become great at manufacturing The biggest barrier for this is quality manpower in factories, it is also the reason most "Made in India" products have the lowest quality.

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