India Emerges as AI and Electronics Powerhouse: Vaishnaw Highlights 6x Manufacturing Growth, 3rd Rank in Global AI Index

“This reflects India’s transition from a consumption-driven market to a global manufacturing and export hub,” Shri Vaishnaw noted.

India’s rapid ascent as a global hub for artificial intelligence and electronics manufacturing took centre stage as Union Minister for Electronics and IT Shri Ashwini Vaishnaw chaired a meeting of the Parliamentary Consultative Committee of MeitY, outlining a sweeping transformation driven by policy support, talent and technological innovation.

The high-level meeting, attended by Minister of State Shri Jitin Prasada, senior officials and Members of Parliament, focused on AI, emerging technologies and electronics hardware manufacturing, with detailed presentations on progress and future roadmaps.

India’s Tech Transformation: 6x Manufacturing Growth, 8x Export Surge

Setting the context, the Minister highlighted the scale of transformation in India’s electronics sector over the past decade:

• Electronics manufacturing has grown six-fold

• Electronics exports have increased eight times

• The sector now employs over 25 lakh people

In a landmark shift, mobile phones emerged as India’s top export item in 2025, signalling a structural change in the country’s export basket and its growing integration into global value chains.

“This reflects India’s transition from a consumption-driven market to a global manufacturing and export hub,” Shri Vaishnaw noted.

India Ranks 3rd in Global AI Vibrancy Index

On the AI front, India has climbed to 3rd position in the Global AI Vibrancy Index, underscoring its emergence as a leading innovation ecosystem.

Officials attributed this rise to:

• Strong policy support and public investment

• A vast and skilled technology talent pool

• A rapidly expanding startup ecosystem

AI applications across sectors were showcased, including:

• Healthcare diagnostics and drug discovery

• Precision agriculture and crop forecasting

• Judicial analytics and case management

• Disaster prediction and response systems

IndiaAI Sovereign Stack: Building Indigenous AI Capabilities

A major highlight of the meeting was the IndiaAI Sovereign Stack, a strategic initiative aimed at ensuring digital self-reliance in AI.

The stack focuses on:

• Development of indigenous AI models

• Creation of high-performance compute infrastructure

• Building large-scale datasets

• Expanding AI skilling programmes

The Minister noted that government interventions—such as enabling affordable access to GPUs—have helped overcome one of the biggest barriers to AI development: compute capacity.

Electronics Manufacturing: Policy-Driven Global Competitiveness

India’s rise in electronics manufacturing has been driven by a comprehensive policy framework, including:

• Production Linked Incentive (PLI) Scheme

• Electronics Components Manufacturing Scheme (ECMS)

• Electronics Manufacturing Clusters (EMC)

• Semicon India Programme

These initiatives have collectively:

• Attracted global investments

• Strengthened domestic supply chains

• Boosted exports and value addition

Semiconductor Push: India Strengthens Chip Design Leadership

The Minister also highlighted India’s growing prominence in semiconductor design, with a rising share of global chip design work being handled by Indian engineers.

To build future talent, the government has:

• Expanded chip design training to 315 academic institutions

• Provided access to world-class Electronic Design Automation (EDA) tools

• Enabled students to design and prototype semiconductor chips

This initiative is creating a robust talent pipeline, critical for India’s ambitions in semiconductor manufacturing and design.

Parliamentary Inputs: Sustainability, Skills and Strategic Use of AI

Members of the Consultative Committee raised key issues, reflecting broader policy concerns:

• Need for AI education across all levels

• Strategic and ethical deployment of AI

• Environmental impact of data centres

• Enhancing value addition in electronics supply chains

• Addressing e-waste management challenges

Shri Vaishnaw acknowledged these inputs and assured that they would be incorporated into policy planning and implementation.

Toward Global Leadership in Emerging Technologies

The meeting underscored India’s ambition to become a global leader in next-generation technologies, supported by:

• Large-scale public investment

• Industry–academia collaboration

• Strong regulatory and policy frameworks

With AI, semiconductors and electronics manufacturing at the core of its strategy, India is positioning itself as a key player in the global digital economy, capable of driving innovation, exports and high-quality employment.

As the technology landscape evolves rapidly, the government’s integrated approach—combining infrastructure, talent, policy and innovation ecosystems—is expected to accelerate India’s journey toward technological self-reliance and global competitiveness.