India needs a national AI body to guide policies and investments: Gopichand Katragadda

Gopichand Katragadda is regarded one of India’s foremost thought leaders in the technology arena. Until January 2019, he was the Group Chief Technology Officer and Innovation Head of Tata Sons. Prior to joining the Tata Group, he was the Chairman and MD of the GE India Technology Centre in Bengaluru. He was also the Chairman of the CII National Technology Committee. He presently is the founder and CEO of Myelin Foundry and an Independent Director of Bosch India and ICICI Securities. Myelin Foundry is a deep-tech product startup that looks to transform outcomes through the use of AI.

He is also the President of the Institute of Engineering and Technology (IET), Board of Trustees, UK. He is an advisor for the NASSCOM Centre of Excellence for Data Science and Al as well.

In this exclusive interview for the Aye, AI column Katragadda talks about a diverse set of possibilities in front of India as far as AI is concerned. Excerpts:

The world is moving at a breakneck speed as far as evolution of AI and GenAI is concerned. At what stage is India at and what can be done to improve the rate of adoption? We have the example of India Stack in front of us.

India is at a nascent stage in AI adoption compared to global leaders like the US and China. While initiatives like India Stack showcase our ability to create scalable digital infrastructure, a similar model is needed for AI to foster widespread adoption. The key steps to improve adoption include: Developing a national AI body to guide policies and investments, increasing government and private sector collaboration to fund large-scale AI projects, incentivising R&D investments in AI through tax benefits and subsidies and creating public-private partnerships to focus on sector-specific AI applications, such as healthcare, agriculture and education.

How do you see AI changing how we work and live? What do you expect to see in the next 5-10 years?

In the next decade, AI will integrate seamlessly into all aspects of life. It will transform work and we will see a shift from repetitive tasks to strategic, creative, and problem-solving roles. There will be a change in work culture that will enable a more balanced work-life approach, moving away from rigid “9-to-5” schedules.

Enhanced decision-making using AI-driven insights will be a key development to improve decisions in industries like healthcare, manufacturing and logistics. The quality of life will improve too. From personalised healthcare to redefined entertainment experiences, AI will focus on enhancing human comfort and health.

We’ll also see new industries and opportunities emerge, which are difficult to imagine now, just as mobile payments and video calls were hard to predict decades ago.

Chinese AI companies have come on in a big way rattling Nvidia and ChatGPT, coming up with tremendous results at a fraction of the cost. How is it possible for China? And why do you think such a large gap is existing with India’s AI efforts?

China’s success in AI stems from its bold investments, government-backed initiatives, and a focus on hardware manufacturing. Key reasons include a centralised vision by which the Chinese government consolidates resources and directs efforts toward national priorities, allowing massive investments in AI and semiconductors. There’s huge focus on R&D investments and Chinese companies allocate a significant portion of their revenue to R&D, creating a robust innovation ecosystem. Cost efficiency is another factor as their ability to manufacture hardware at scale reduces costs.

India, in contrast, lacks such a consolidated strategy and risk-taking ability. Fragmented investments and insufficient focus on hardware manufacturing contribute to the gap.

What do you think of the talent pool that we have in India for AI and how do you think Indian startups can chart their paths accordingly?

India has an exceptional talent pool with strong mathematical, engineering, and programming skills. However, most talent focuses on services rather than product innovation. To chart their paths, Indian startups should focus on niche applications where they can create differentiation (eg. edge AI, healthcare AI) and foster a culture of innovation by investing in research labs and collaborations with academia.

We should also retain talent by offering opportunities to work on cutting-edge technologies locally and leverage global markets by building scalable solutions with local expertise.

Can you talk to us about the need to have AI included in our schools and colleges in a better way?

AI must be embedded in education at all levels to create a future-ready workforce. Steps to improve this include: Curriculum Integration – Introducing AI basics in schools and advanced AI courses in colleges; Practical Learning – Encouraging hands-on experience with AI tools, coding platforms, and real-world projects; Teacher Training – Equipping educators with the skills to teach AI effectively and an Interdisciplinary Approach – Combining AI with other fields like biology, economics, and social sciences to show its diverse applications.

This will prepare students not only to work with AI but also to innovate and lead in the field.

US has announced $500 billion fund for AI infra. Don’t you think we in India too need a national fund of this kind?

Yes, a national fund for AI is essential for India to remain competitive. However, the scale must align with India’s economic capacity. A focused fund could support the creation of AI infrastructure and computing resources and provide grants for startups and research institutions. It can promote innovation in priority sectors like agriculture, healthcare, and education.

This is possible if private and public sectors collaborate, with clear accountability for outcomes. India must also leverage global partnerships to enhance funding and access to AI resources.

Are our large tech firms too conservative? If so, why?

Yes, large tech firms in India are conservative, often prioritising profitability and incremental improvements over disruptive innovation. There is too much focus on meeting quarterly targets rather than long-term goals. There is limited investment in high-risk, high-reward projects.

They should instead look to adopt a “70-20-10” R&D strategy, dedicating 20% resources to a 3-year horizon and 10% to a 5-year horizon, while 70% is for the here and now.

They should create internal incubators to nurture innovative ideas and collaborate with startups and academia to foster innovation outside their core operations. Large firms must view innovation as a necessity, not a luxury, to remain globally competitive.

India’s tech ecosystem is risk-averse compared to global leaders. Companies often prioritise short-term results over long-term innovation. There should be greater focus on strategic R&D rather than immediate returns. One should recognise and reward bold initiatives to create a culture of innovation.

(Note to readers: Aye, AI is a column that deals with Artificial Intelligence and its possibilities by engaging in conversations with the brightest in business)