Loading ...
AI spending by Indian cos may grow by 8-11% in 18 mths: Intel

- 1
- (504 Words)
-
- Download

- Print
12/14/2017 3:30:00 PM
Bengaluru, Dec 14 (PTI) Increasing influence of
artificial intelligence-based solutions across verticals is
expected to push companies to spend 8-11 per cent more over
the next 18 months on this new-age technology, a report by
global chip maker Intel said today.
The Telecommunications, Media, and Technology (TMT)
vertical is a major consumer of the AI technology with current
adoption rate of 37.5 per cent, it said.
However, sectors like retail, services and healthcare are
expected to lead in 2019, with an expected adoption rate of 74
per cent over the next 18 months, said the report, based on
the survey conducted by research firm IDC India.
"IT budget spend on AI is likely to increase between 8-11
per cent, led by TMT and manufacturing sectors," it said.
The study surveyed 194 large Indian organisations across
sectors to gauge the appetite towards the adoption of AI.
"Like their global counterparts, Indian enterprises too,
are looking at leveraging technologies like AI and IoT to
increase business efficiency and employee productivity.
"About 64 per cent respondents believe that this
technology can empower them in revenue augmentation through
better targeting of offers and improved sales processes,"
Intel India Managing Director (Sales and Marketing Group)
Prakash Mallya told reporters here.
While benefits of AI are clear, 76 per cent companies
believe they will face a shortage of skilled personnel to
harness the power of AI, he added.
Intel claims to power 97 per cent of data centre servers
running AI workloads worldwide.
Intel is betting on five key areas -- AI, Internet of
Things (IoT), 5G, Augmented/Virtual Reality and connected
vehicles -- to drive growth, Mallya said.
The company has been strategically investing in the
development of the ecosystem in India to promote innovative
application of AI, he said, adding that it has a "huge
opportunity to lead the next generation of computing
transformations in India".
Earlier this year, Intel India had said that it will
train 15,000 people in India in the area of AI by April next
year.
According to the report, nearly 1 in 5 organisations
surveyed (22.2 per cent) has implemented AI technology in some
way in the recent past. This number is expected to increase
considerably by mid-2019 with nearly 7 in 10 firms (68.6 per
cent) anticipated to deploy it.
Businesses, particularly in retail (including e-commerce)
and telecom are exploring mechanisms to boost their revenue by
using AI for better targeting of offers and improved sales
processes, it said, adding that manufacturing and retail
sectors are looking at refining their supply chain networks
using AI.
Besides, financial services organisations are more
focused on improving regulatory compliance and fraud reduction
from AI implementation, while retail and automotive
establishments are looking at improving consistency in the way
decisions are made, the report said.
However, concerns around adoption of AI continue with
high costs, acute shortage of skilled professionals, unclear
return on investment and cyber security are emerging as the
key hindrances.
Regulatory compliance and lack of quality data are seen
as other important challenges.
GUIDELINES
The story package comprises the main story and its related stories, photos, videos and audio.
.............................................................................................
Only those related links for which you are subscribed will appear in the story package. For instance, only if you are a photo subscriber would you get to see photos in the related links.
.............................................................................................
The related photos, videos and audio you download as part of the package will reflect on your total permitted count. Hence, download judiciously.
.............................................................................................
To help you decide on the links to download, relevant tips have been provided on mouseover.