Impact of Emergence of AI and Related Issues

The Standing Committee on Communications and Information Technology (Chair: Dr. Nishikant Dubey) presented its report on the ‘Impact of Emergence of Artificial Intelligence (AI) and Related Issues’ on March 30, 2026.  The Committee examined implications and use of AI across various sectors such as finance, energy, security, defence, and agriculture.  It also examined India’s preparedness, initiatives, and the regulatory framework.  A key initiative is the launch of the India AI Mission in March 2024.  This Mission aims to improve compute capability, access to datasets and talent pool, and encourage development of models and AI applications in India.  In November 2025, the AI Governance Guidelines were issued.  A dedicated mitigation centre for harmful content is also under works.  Key observations and recommendations of the Committee include: 

Constraints in deploying AI at scale:  The Committee observed that large-scale deployment of AI in India faces three fundamental barriers: (i) limited computing facilities, (ii) shortage of skills, and (iii) lack of adequate datasets.  It further observed data accessibility and availability as the most significant challenge.  The Committee recommended: (i) setting up data centres and AI labs across the country, (ii) initiating specialised studies or courses in AI from lower standards of schools, (iii) popularising AI in colleges, and (iv) introducing fellowships and academic research in AI in all universities.  The Committee also noted certain challenges in adoption of AI.  These include: (i) growing third-party dependencies and market concentration, (ii) lack of interpretability of AI models, and (iii) concerns with regard to data quality, data privacy, cybersecurity, accountability, and use in automated decision making.  In case of agriculture, it noted concerns such as: (i) high initial investment, (ii) lack of high-speed internet in rural areas, (iii) lack of trust and explainability, and (iv) barriers with regard to language.

Preventing misuse of AI:  The Committee observed that risks associated with AI include deepfakes, cyber threats, AI-based surveillance, and AI-enabled financial fraud.  It noted that the IT Rules, 2021 provide a framework to prevent the hosting or transmission of unlawful and harmful content including deepfakes.  It further noted that draft amendments to IT Rules have been proposed to further strengthen this framework with regard to AI.  The Committee also noted that the Digital Personal Data Protection (DPDP) Act, 2023 prohibits unauthorised or excessive data collection.  It also regulates aspects of profiling and bias.  Further, a Digital India Act is currently under formulation which aims to introduce new central legal framework to deal with issues related to AI.  The Committee recommended: (i) expediting implementation of draft amendments to the IT Rules, (ii) exploring possibility of a comprehensive legislation to prevent misuse of AI, and (iii) exploring age restrictions for certain platforms to save people from misuse of AI.

Promoting AI adoption:  The Committee noted that integrating AI across sectors such as healthcare, education, agriculture, industry, and security can have significant benefits.  It also noted potential use of AI in areas such as cybersecurity, tax administration, immigration, and fraud prevention and detection.