Davos, Switzerland – India's Minister for Electronics and Information Technology, Ashwini Vaishnaw, has strongly refuted the International Monetary Fund (IMF) chief's assessment that categorizes India as a "second-tier" nation in the realm of artificial intelligence. Speaking at a World Economic Forum (WEF) panel in Davos, Switzerland, Vaishnaw challenged the IMF's classification, asserting that India rightfully belongs among the leading AI nations globally.

Vaishnaw directly addressed IMF Managing Director Kristalina Georgieva, questioning the basis of the IMF's categorization. He argued that the classification did not accurately reflect available international assessments and independent global rankings. Vaishnaw cited Stanford University rankings, which place India third globally in AI penetration and preparedness, and second in AI talent. According to Vaishnaw, these rankings demonstrate India's strong standing in the AI landscape.

The minister elaborated on India's comprehensive five-layered strategy for AI architecture, encompassing applications, models, chips, infrastructure, and energy. He emphasized that India already possesses multiple AI models that are being deployed across various sectors to enhance productivity and efficiency. Vaishnaw highlighted the government's focus on ensuring the widespread adoption of AI throughout the domestic economy.

Vaishnaw also touched upon India's approach to AI model development, noting that the nation is focusing on building AI solutions tailored to specific needs, rather than solely focusing on large-scale models. He stated that approximately 95% of AI-related tasks can be accomplished using models with 20 to 50 billion parameters. Vaishnaw projected that India is poised to become the largest global supplier of AI-driven services by understanding enterprise-level requirements and deploying solutions to improve productivity. He also pointed out that return on investment comes from deploying lower-cost solutions rather than creating very large models.

Furthermore, Vaishnaw mentioned the upcoming AI Impact Summit in New Delhi, where India plans to launch a "UPI-like" repository of AI tools. This repository will showcase successful AI use cases that can be easily replicated by other countries, particularly in the Global South.

Vaishnaw also addressed the semiconductor industry, outlining India's strategy and expressing confidence that the nation will be among the top four or five semiconductor nations globally. He noted that a significant portion of global chip volume falls within the 28 to 90 nanometer range, which covers applications in various sectors such as electric vehicles, automobiles, railways, and telecom equipment. India has a clearly defined roadmap to achieve 7-nanometer technologies by 2030.

In addition to his remarks on India's AI capabilities, Vaishnaw met with IBM CEO Arvind Krishna and Meta Chief Global Affairs Officer Joel Kaplan at the WEF in Davos. He noted that the world views India as a key driver of global innovation.