August 2, 2025

Artificial intelligence (AI) is set to reshape how we live, work, and interact, but not without challenges. Nandan Nilekani, co-founder of Infosys and an architect of India's digital infrastructure, shared his insights on AI's dual-edged nature at an Asia Society event. While acknowledging the inevitability of wealth and power concentration with AI, he insists on creating a different paradigm within India's sphere of influence. According to Nilekani, AI can significantly improve the lives of billions. He highlights its potential benefits in areas such as language learning, healthcare access, and education improvement. His belief rests on the premise that technology should democratize advantages rather than just serve the elite. Interestingly, Nilekani argues that India's strategy regarding AI should diverge from that of Western nations and China, which are heavily investing in expansive AI models. Instead of competing on expenditure, he advocates for a focused application of AI that addresses local challenges—such as reducing barriers in education and healthcare, and overcoming language obstacles. This approach aligns with his vision of leveraging technology to meet the country's specific needs rather than entering an arms race. When discussing the rising conversation around universal basic income (UBI) as a protective measure against job losses driven by AI, Nilekani remains skeptical. He terms the notion of a futuristic world where humans lounge on beaches as AI handles all work as a 'dystopian idea.' Nilekani emphasizes that AI's primary role should be to enhance human capabilities and improve quality of life, not serve as a fallback plan for an increasingly automated world. Despite earlier discussions regarding UBI, he expresses strong disapproval, noting it never transitioned into actual policy after its mention in India's 2017 Economic Survey. Instead, Nilekani insists that India must embrace innovation not just as an option, but as a necessity. With a growing digital infrastructure, he believes that consistent innovation will become crucial in addressing the needs of a billion people. Nilekani's belief is that the future is actively being shaped in India. The pressure to innovate will only intensify as more people set their ambitions higher. He warns that failure to consistently innovate could lead to detrimental outcomes, underscoring the link between continuous improvement and societal stability. One of the significant keys to successful tech adoption in India, according to Nilekani, is frugality. He points to the success of the Unified Payments Interface (UPI), which allows for instantaneous money transfers, including as little as Re 1, without cost—an unprecedented feature in the global landscape. This simplicity, described as a fundamental lesson from the Aadhaar project, showcases the importance of accessible and scalable design in technology. As AI technology continues to evolve rapidly, Nilekani calls for a balanced approach: India should not just aim for scale, but prioritize the meaningful application of technology to better serve its people. This involves focusing on smart education tools, enhanced healthcare access, and solutions for bridging language divides. In conclusion, Nilekani’s vision for AI in India champions incremental and sustainable innovations focused on real-world applications that meet the needs of everyday citizens. As AI develops, it’s imperative to create tools that matter, aligning tech with socio-economic realities rather than getting lost in the hype.

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Tags: Nandan nilekani, Ai, Universal basic income, India, Technology innovation,