India's AI Boom: Why Companies Are Struggling to Find the Right Talent

AI is no longer a futuristic fantasy for Indian businesses — it's a necessity. But here’s the twist: there just aren’t enough skilled professionals to make it work

• AI Adoption Surge: Indian businesses are rapidly adopting generative AI to stay competitive.

• Talent Shortage Crisis: 54% of HR professionals report that half (or fewer) applicants meet job qualifications.

• Skills in Demand: Critical gaps in technical (44%), AI (34%), and soft skills (33%) make hiring harder.

• Selective Hiring: Companies are only considering candidates who meet 80%+ of job qualifications.

• Upskilling Push: 48% of business leaders prioritize AI learning and development to close the gap.

• Who: Indian businesses and HR professionals

• What: Facing a critical shortage of AI and technical talent

• When: 2025 and beyond

• Where: Across India (LinkedIn’s second-largest market with 150M+ members)

• Why: AI adoption is accelerating, but there aren't enough skilled professionals to unlock its potential

Generative AI has officially gone from buzzword to business backbone. Indian companies are in a race to adopt AI solutions that promise:

✅ Faster processes

✅ Smarter decisions

✅ A competitive edge

But there’s a catch: Where are the people who can make it happen?

According to a recent LinkedIn report:

• 54% of HR professionals in India say half or fewer of job applications meet the required qualifications.

• 61% struggle to find candidates with the right technical skills.

• 57% face difficulties sourcing essential soft skills like communication and problem-solving.

Here's what HR teams in India are struggling to find:

• 🧑‍💻 Technical/IT Skills (44%): Software development and engineering expertise

• 🤖 AI-Specific Expertise (34%): Machine learning, data science, and automation

• 🗣️ Soft Skills (33%): Communication, collaboration, and problem-solving

🧐 Why does this matter?

Without these skills, even the most advanced AI tools become expensive paperweights. Companies want to innovate — but they need the right people to make it happen.

The talent shortage is forcing companies to raise the bar.

More than half of HR professionals in India say they will:

• Only reach out to candidates who meet 80%+ of job qualifications (55%).

• Only hire those who match 80%+ of criteria (54%).

In other words, if you don't tick most of the boxes, you might not even get a callback.

Ruchee Anand, India Country Head for Talent & Learning Solutions at LinkedIn, puts it bluntly:

Investing in AI technology alone won’t cut it. Companies need the right talent to unlock its true potential.

Indian businesses aren't sitting still. Nearly 48% of leaders are doubling down on AI training and development to bridge the skills gap.

For professionals, the message is clear:

👉 If you want to future-proof your career, learning AI skills is no longer optional.

Companies must shift to a skills-first hiring approach:

• Focus on capabilities over rigid job descriptions.

• Prioritize human skills like creativity and communication.

AI may be the tool that unlocks innovation — but it's human ingenuity that drives progress.

Here's how to stay ahead in the AI era:

✅ For Job Seekers:

• Upskill in AI: Focus on technical skills like software development, machine learning, and data analysis.

• Sharpen Soft Skills: Communication, collaboration, and problem-solving remain critical.

• Meet the 80% Rule: Ensure you align with at least 80% of job qualifications to boost your chances.

✅ For Businesses:

• Adopt a Skills-First Approach: Prioritize skills over rigid qualifications.

• Invest in Learning & Development: Build in-house talent by upskilling your workforce.

• Balance AI with Human Creativity: Use AI as a tool but rely on human ingenuity for long-term success.

1. Think Ahead With AI: Dive into a world where AI isn't just a tool, but a transformative journey. Whether you're a budding entrepreneur, a seasoned professional, or a curious learner, we're here to guide you. Together, we explore, innovate, and transform. Our mission is to help marketers, coaches, professionals and business owners integrate Generative AI and use artificial intelligence to skyrocket their careers and businesses. 🚀

2. BharatGen: An open-source, multimodal, multilingual, India-centric foundation model introduced in September 2024. Funded by the Department of Science and Technology, BharatGen aims to reduce reliance on foreign AI models by considering India's linguistic and cultural diversity.

3. JioBrain: Launched by Reliance Industries, JioBrain is a suite of AI tools designed to transform various sectors within the company. This initiative underscores India's robust IT industry and its growing role in the global AI landscape.

4. Infosys In-House Learning Platform: Infosys has developed an internal learning platform to facilitate continuous employee reskilling, ensuring that AI complements their roles and addresses concerns about job obsolescence due to rapid AI advancements.

5. Microsoft Azure AI: Microsoft's significant investment in expanding Azure cloud and AI capacity in India includes a focus on upskilling Indian talent in AI. The company aims to train 10 million Indians in AI by 2030, enhancing the nation's AI capabilities.

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4. 📘 Microsoft details ‘Skeleton Key’ AI jailbreak

5. 📘 Tech war escalates: OpenAI shuts door on China

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Sanjukta Chakrabortty
Gen. AI Explorer