India has emerged as the world's third most competitive country in artificial intelligence (AI), according to a recent report by Stanford University. The Global AI Vibrancy Tool developed by Stanford, which measures factors such as talent, research and development, investment, and infrastructure, has placed India behind only the United States and China.

The United States holds a significant lead in AI competitiveness with a score of 78.6, followed by China with 36.95, and India with 21.59. Despite the gap between India and the top two countries, this ranking signifies India's rapid growth and increasing competitiveness in the global AI landscape. India's score is significantly higher than other major economies like South Korea, Japan, Singapore, the United Kingdom, and Germany. This achievement underscores India's unique position as a leading AI power among lower-middle-income countries.

Several factors have contributed to India's rise in AI competitiveness. The country boasts a strong tech ecosystem, increasing investments in the AI sector, and a growing pool of talent. India features among the top three countries in talent, reflecting its large and skilled workforce in technology and engineering. The ranking is a major boost for India, reflecting rising investments in AI, increasing research output, and a strong startup ecosystem.

The Indian government has also played a crucial role in promoting AI development through various initiatives and policies. These initiatives aim to foster innovation, encourage research and development, and promote the adoption of AI across various sectors.

The ranking comes at a time when several global companies are announcing major investments in India's AI infrastructure. Amazon has committed to investing $35 billion by 2030 in key AI, logistics, and cloud computing infrastructure in India. Microsoft has also pledged a substantial $17.5 billion investment, its largest in Asia, to expand its cloud and AI services in the country. These investments will further strengthen India's AI ecosystem and boost its competitiveness.

While the United States leads in research and development, responsible AI, economy, policy and governance, and infrastructure, China performs strongly in talent, economy, and infrastructure. This data suggests that different countries are focusing on different strengths in the AI landscape.

The report also highlights a broader concern about the growing gap between countries in AI competitiveness, which could deepen global inequality if access to AI growth remains uneven. However, India's strong performance indicates its potential to bridge this gap and contribute to a more equitable distribution of AI benefits.