Figure. 1. Indian SaaS firms using AI could create $500 billion of value by 2030: report

Mumbai: Indian software-as-a-service (SaaS) startups that harness artificial intelligence (AI) could create $500 billion of market value by 2030, according to a report by early-stage venture capital firm Stellaris Venture Partners and IFC, the investment arm of the World Bank. The report, titled ‘AI Enabled SaaS: The Next Frontier for Global SaaS Startups from India’, said India’s AI opportunity could create more than 900,000 white-collar jobs and 3.6 million new indirect jobs by 2030. We believe that globally, AI represents a around $ 900 billion revenue opportunity by 2030 from infrastructure, applications and services ,” it said.

Based on an industry-wide study conducted in collaboration with tech giants including Cisco, Infosys, Amazon Web Services (AWS), GitHub, and Freshworks, the report said India’s opportunity will lie in AI-first software applications, AI application programming interfaces (API),platform BPO services and data stack services.[1]

data sets and sophisticated algorithms, said the report.
Moreover, the overall ecosystem for early-stage companies is backed by adequate high-risk capital, with individual and institutional investors who are focusing on software investments and industry-specific accelerators that are willing to support these companies in their early stages.

“In India, there are several inflection points such as an abundance of data, storage capacity, and computing power, that are priming AI to drive the next wave of business transformation”, said Ruchira Shukla, Head, South Asia, Disruptive Technologies – Direct Equity and VC Funds of International Finance Corporation (IFC).

In 2021 alone, $4.5 billion was invested in SaaS startups in India, a rise of 170% from 2020, in keeping with Bain & Company. “These in combination with the increased service intensity inherent to AI and the democratisation of AI infrastructure, is where India’s advantage lies,” it stated.

The report stated that AI was not simply one other new function however a brand new wave that might assist create a brand new era of startups. “The use of technology to aid human judgement, as opposed to simply automating repetitive tasks, is ready for primetime,” the report stated. “We believe that globally, AI represents a around $900 billion revenue opportunity by 2030 from infrastructure, applications and services,” it stated.[3]

References:

1. https://economictimes.indiatimes.com/tech/technology/indian-saas-firms-using-ai-could-create-500-billion-of-value-by-2030-report/articleshow/89480802.cms
2. https://www.business-standard.com/article/companies/indian-ai-saas-start-ups-can-create-500-bn-of-market-value-by-2030-report-122021000658_1.html
3. https:https://www.pehalnews.in/indian-saas-firms-using-ai-could-create-500-billion-of-value-by-2030-report/1624733/

Cite this article:

Nithyasri S (2022), Indian SaaS firms using AI could create $500 billion of value by 2030: report, Anatechmaz, pp. 123