Get All Access for $5/mo

Five Industries Set to Revolutionize in India Utilizing AI and Deep Tech AI and Deep Tech are experiencing a huge surge in the Indian market, surpassing the e-commerce boom of the mid-2010s

By Shivani Tiwari

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Freepik

Some years ago, Artificial Intelligence (AI) and Deep Tech were part of fantasy movies and we never imagined using them in our daily lives. But if you look at the recent data from Indian industries, you will be surprised to see that several traditional companies are leveraging and are set to leverage AI and Deep Tech in their operations at full or large capacities.

According to the recent report "AI and DeepTech" by Praxis, AI and Deep Tech are experiencing a huge surge in the Indian market, surpassing the e-commerce boom of the mid-2010s. Additionally, investments in Indian AI and Deep Tech ventures have seen a remarkable 5x increase—growing at a CAGR of 31 per cent over the last six years (FY18-24), making India the third largest startup hub, with more than 26,000 tech startups. Also, in FY22, ventures in these technologies successfully raised funding worth USD 1.6 billion over 85 funding rounds. Uniphore, Gupshup, and Fractal Analytics contributed approximately 70 percent of the deal value.

Key Industries Transforming With AI and DeepTech

Agriculture

Agriculture is one of the industries that is highly transformed with AI and Deep Tech at every level of its operations such as farming, processing, storage, and distribution. Technologies like biotech, AI, Internet of Things, and Augmented Reality and Virtual reality are being used for precision agriculture, virtual farm planning, and autonomous harvesting. Additionally, Robotics and advanced materials are being utilized to improve processing, preserve nutritional value, and extend shelf life. Further, blockchain and other Deep Tech are playing a huge role in making a sustainable and technologically advanced agricultural industry. Companies like PhosAgro, BCS, Cargill, and ITC are leading these technologies.

"AI is optimizing agriculture by improving input precision and output prediction in scientifically managed operations. We are also evaluating AI solutions to monitor crop and soil health to detect diseases and nutrient deficiencies. Autonomous robots to remove weeds when the field conditions are risky is another application being examined," S. Sivakumar, Group Head Agri and IT Businesses, at ITC noted.

Automotive

Automobile industry is another which is leveraging AI and Deep Tech into its entire value chain, from R&D and procurement to manufacturing, distribution, and customer fulfillment. In R&D, technologies like virtual prototyping and AI-driven crash testing streamline development by reducing the need for physical prototypes. Additionally, advanced materials such as graphene contribute to creating lighter, stronger vehicles, while nanotech materials enhance battery performance. And when it comes to manufacturing; IoT, AI, and robotics, particularly collaborative robots (cobots), improve accuracy and efficiency, and predictive maintenance reduces downtime. Additionally, blockchain technologies (transparency in ownership) and AR/VR technologies (virtual assistance 24/7) are also being utilized. Companies like Mahindra, Mercedes Benz, Toyota, and Honda Mahindra are leading in this industry.

"The rise of Generative AI is likely to be a major inflexion point which could fundamentally transform life and business as we know it. AI could literally become a co-pilot in almost everything that we do," said Anand Mahindra, Chairman, Mahindra and Mahindra.

Energy and Utilities

Energy and utilities industry is also experiencing a significant transformation because of AI and Deep Tech from power generation to consumption. Technologies such as AI and IoT predict energy demands accurately leading to low waste and also stabilizing power grids. In energy storage, IoT and robotics helps in monitoring and maintaining systems, while advanced materials like nanostructured supercapacitors and metal-air batteries improve storage capacity and safety. Companies like Shell and ExxonMobil lead into this sector, using AI to streamline operations and enhance safety in energy exploration.

Logistics

While in the logistics industry, AI and Deep Tech are reshaping the very core operations of the sector across inbound, loading/unloading, storage and packaging, and outbound processes. Integration of AI and IoT in Electric vehicles (EVs) are providing real-time data of suppliers, optimizing collaboration and improving efficiency. AI, IoT, robotics, and AR/VR are being utilized for storage and packaging. Additionally, AR technology helps in creating virtual replicas for real-time inventory management, improving decision-making and efficiency. Also, IoT sensors track assets more accurately—reducing length of stock expiration. Quantum computing optimizes outbound logistics by reducing costs through global routing optimization and real-time risk management.

Drone deliveries by startups like Aereo and Garuda Aerospace enhance outbound logistics with aerial intelligence and LiDAR, improving reach and reliability. Currently, DHL and XPO are leading in this industry. According to the report, DHL has boosted its sorting capacity by 40 per cent—achieving a rate of 1,000 parcels per hour with 99 per cent accuracy.

Additionally, startups like Aereo, Aero360, Drone Tech Lab, and Garuda Aerospace are making significant strides in utilizing UAVs and VTOLs for B2G and B2B applications.

Lifesciences and Pharma

Pharmaceutical industry also leverages AI and DeepTech in its several operations such as drug discovery, clinical trials, manufacturing, distribution, and marketing. Gene AI and quantum computing accelerate drug development by predicting interactions and optimizing molecules. Gene editing tools like CRISPR enable precise DNA modifications to treat genetic diseases, while nanotechnology improves targeted drug delivery. Additionally, IoT sensors help in maintaining quality and climate control for sensitive drugs, while AI systems manage inventory accurately.

Also, blockchain technology helps in tracking stock and reducing wastage due to expiry and enhances trial transparency and speeds up regulatory approvals among others. Industry leaders like Johnson & Johnson, AmerisourceBergen, Pfizer, and Cipla are pioneering these technologies.

AI and DeepTech includes nine pioneering technologies such as immersive technologies, biotech, AI / ML, robotics, photonics/electronics, blockchain, advanced materials, quantum computing, and space tech.

Passionate storyteller covering the cutting edge of AI and tech startups. Dedicated to uncovering the latest industry trends, groundbreaking innovations, and delving deep into cybersecurity topics.
News and Trends

99labels Co-Founder Ishita Swarup Passes Away

Just two years into the business, it raised INR 16 crore from Info Edge and Bikhchandani, but it didn't go well

Entrepreneurs

This Unique Social Startup Helps in Offsetting Carbon Footprint

Verdoo, a free online tool, helps consumers fight climate change through online shopping

News and Trends

Over $230 Million Worth of Crypto Hacked: What Message Is It Sending?

With the siphoning of USD 234.9 million in crypto, what's next for the industry, its users, and government?

News and Trends

Reimagining HR: How AI is Leading to Workplace Prosperity

It's proven that the HRTech landscape has traditionally been characterized by tedious and manual processes prone to mistakes, fatigue, and biases. Recruitment, in particular, is a high-stakes area where errors can be extremely costly. These startups are working towards making it efficient

Business News

How to Be a Billionaire By 25, According to a College Dropout Turned CEO Worth $1.6 Billion

Austin Russell became the world's youngest self-made billionaire in 2020 at age 25.

News and Trends

Local-Only Quota Will Hurt Investment and Migrant Workforce Sentiments

Political analysts often suggest that these moves are made to attract votes