Bangalore's startup ecosystem is witnessing a significant shift towards artificial intelligence (AI) adoption, with leading entrepreneurs advocating for its integration to enhance productivity. CRED founder Kunal Shah Thursday highlighted this trend, emphasizing the urgency for startups to embrace AI.
In a tweet, Shah observed that while many Bangalore startups are leveraging AI to boost productivity, only about 20% have fully integrated AI into their operations. He noted that the remaining 80% appear hesitant, awaiting a definitive signal to adopt the technology. Addressing this inertia, Shah asserted, "This is your sign."
Shah's advocacy for AI isn't new. "Every expert has to become AI native to remain relevant, irrespective of their domain. Those who stay in denial will be left behind," he tweeted last week.
Shah has consistently emphasized AI transformative potential. In a recent discussion, he compared AI's impact to that of the steam engine and the internet, stating that AI is ushering in a new era of innovation. He also shared his personal experience, mentioning that tools like ChatGPT have made him "10x more efficient in sharing ideas with the team."
Bangalore, often dubbed India's Silicon Valley, has been at the forefront of AI innovation. The city hosts numerous AI startups, including prominent names like ORAI, which has secured $101 million in funding, and Entropik, with $35 million. These companies are pushing the boundaries of AI applications across various sectors.
The city's startup ecosystem reflects this momentum. Reports indicate that in 2023, AI startups in Bangalore raised around $3 billion, a substantial increase from $1.5 billion in 2022. The number of funding rounds also surged, with over 150 deals reported in the first half of 2023 alone.
Despite these advancements, a significant portion of startups remains on the sidelines regarding AI adoption. Shah's recent remarks serve as a clarion call, urging these companies to recognize AI's potential and integrate it into their operations. He has previously warned that neglecting AI could render many jobs obsolete in the next decade, emphasizing the need for proactive adaptation.
As global industries increasingly pivot towards AI, Bangalore's startups face a pivotal choice: embrace the technology to drive innovation and efficiency or risk being left behind.