With the AI (Artificial Intelligence) international summit in full swing in Delhi, the question occurred to me as to how many people know the basics of this hugely complex subject. I certainly did not know too much; but after some research, this is what I discovered. Domain experts may stop right here and need not proceed further. Others, hopefully, may find it of some value.
Definition: There are tons of definitions on the subject. The simplest one is that AI is a technology that enables machines and computers to perfom tasks that typically require human intelligence. In other words, it is a set of technologies that empowers computers to learn, reason and to perform a variety of advanced tasks in ways that previously used to require human intelligence, such as understanding language, analysing data, and even providing helpful suggestions.
Importance of AI: AI can be applied to a wide range of sectors, namely, IT, healthcare, finance, marketing, manufacturing, tourism and transportation. But more than anything else, AI enhances efficiency, promotes data-driven decision making, improves accuracy, promotes savings in costs and encourages personalization.
Inevitability of AI: AI penetration has moved well beyond experiments; a whopping 88 per cent of organizations worldwide are already using AI in some form or the other. Roughly 1 in 6 people used AI products by the end of 2025, a figure set to rise exponentially in the months and years ahead. In terms of per capita AI adoption, UAE and Singapore lead the world. Other countries are following suit. Whether one likes it or not, AI is here to stay.
Infrastructure: The US ranks first in terms of AI infrastructure, but ranks lower (28th) in per capita adoption. In terms of the main infrastructure i.e. the data centers, there are key components to it: GPUs (Graphic Processing Units), networking, storage, cooling and scalable power systems. There are at present 10,800-odd data centers around the world. US leads the way with 3960, followed by UK with 498, Germany with 470, China with 365, France with 335 and India with 275. The current AI summit in Delhi has two strategic objectives from India’s point of view: to attract substantial investments into India and to shape, to the extent possible, the regulatory landscape in AI.
Regulation: Everyone (including Mark Zuckerberg) agrees that there is need for regulating AI. The question is how far countries wish to go in regulating AI. Key issues that policy makers will have to grapple include: liability – who is responsible when AI systems cause harm; data privacy/ safety – AI requires vast datasets often violating privacy; Intellectual Property – copyrighted data is often used without authorization; and algorithmic bias – AI systems can amplify societal biases leading to unfair outcomes in hiring and law enforcement. For Governments, striking the right regulatory balance between a regime which prevents abuse of AI on the one hand and promotes innovation and investment on the other, is of vital importance. There is global regulatory divergence already: EU seems to prefer binding risk-based regulations while other countries like Japan focus on flexibility and laissez-faire. India has released AI governance guidelines focusing on safety, trust, and inclusion, tending towards the EU model.
Inclusion: AI, like any other transformative technology, can either benefit humanity or completely rupture it. In countries like India, it can also cause a deep and unbridgeable divide. This is really the central challenge for countries of the global south. Microsoft has come up with its “AI Diffusion Report” which states unambigously that AI usage in the Global North is roughly twice that in the Global South. There is no option, the above Report says , except for Governments and other stakeholders to undertake the following:
- Building the infrastructure needed for AI diffusion
- Empowering people through technology and skills for schools and nonprofits
- Strengthening multilingual and multicultural AI capabilities
- Enabling local AI innovations that address community needs
- Measuring AI diffusion to guide future AI policies and investments
The ongoing AI Summit in Delhi may be expected to come up with recommendations on the subject of inclusive AI.
Impact on Environment: One of the biggest worries for countries of the global south is the colossal energy and water requirements that AI will require. The proliferating data centres that house AI servers produce electronic waste. They are large consumers of water, which is becoming scarce in countries of the global south. They rely on critical minerals and rare elements, which are often mined unsustainably and which are in short supply. And they use massive amounts of electricity, spurring the emission of planet-warming greenhouse gases. When establishing data centres, companies must disclose the environmental impact and all stake holders must join hands to tackle the above problems. The UNESCO way back in 2021 had come up with “Recommendation on the ethics of artificial intelligence” which is well worth looking at. It is available on UNESCO’s website.
Job Losses: Backed by the exponential diffusion of AI, one view is that the impact might be more dramatic than expected in Africa and South Asia and for rural and remote communities. Emerging markets and low-income developing countries are less prepared for AI and may be more affected than others. Cross-country studies of labour market exposure to AI reveal that advanced countries face a higher risk to congnitive jobs ; but they are also better positioned to exploit the benefits of AI compared to emerging and developing economies.
India faces, potentially, a double whammy. The digital divide and the gender divide both feeding on each other and complicating things. Also, the IITs producing batch after batch of software coders who then seek jobs in the US or elsewhere, may be threatened. The biggest risk may however not be mass unemployment, but widening inequality.
The good news is that AI’s trajectory is not pre-determined and could yet be influenced by a country’s choices. The charter for action must include: proactive policy interventions, taking into account ethical considerations and massive investment in human capital. Seen from this perspective, the AI Summit in Delhi could not have come at a more appropriate time.
Dr Mohan Kumar is a former Indian Ambassador to France and currently Dean/Professor at O.P. Jindal Global University. Views are personal.
Diplomacy and Geopolitics 