India Missing AI Boom, Says Ruchir Sharma

Ruchir Sharma has said that global investors increasingly view India as falling behind in the artificial intelligence race, highlighting a shift in how foreign capital is being allocated worldwide. Speaking at a public discussion, Sharma noted that unlike the IT boom of the early 2000s, India is not a major player in the current AI-driven transformation shaping global markets.

He explained that the AI ecosystem today is centered on core infrastructure such as semiconductors, computing power, and memory—areas where India lacks a strong presence. Sharma pointed out that countries like Taiwan and South Korea have emerged as clear leaders in this space, benefiting from their dominance in chip manufacturing and advanced technology production.

Emphasizing the scale of this gap, Sharma highlighted that TSMC alone holds a greater weight in the MSCI index than all of India combined. He also noted the strong performance of Samsung, whose profits are expected to surpass most major global tech firms. While India has seen modest foreign inflows recently, Sharma stressed that investor sentiment remains cautious, driven largely by the global focus on AI leadership.

Pic courtesy: google/ images are subject to copyright