Growing Opportunity for Indian-Focused AI: Leading the Way in Domain-Specific Intelligence, as per Ankur Mittal, Co-Founder of IPV.
In 2025, India is witnessing a significant shift in Artificial Intelligence (AI) developments, with a growing focus on vertical AI applications tailored to specific industries such as healthcare, agriculture, finance, and law. This trend is driven by a surge in global ambitions and investment, reflecting India's expanding role in the AI landscape.
In the healthcare sector, vertical AI systems are being actively deployed to analyse medical data for predictive diagnostics, early disease detection, and personalized treatment plans. Indian startups like Dozee are at the forefront of this revolution, focusing on healthcare-specific AI solutions. The benefits are twofold: improved patient outcomes and operational efficiencies.
Agriculture is another sector where vertical AI is making a significant impact. Initiatives like the Linux Foundation’s India sub-foundations, including AgStack, support open-source AI innovations for agriculture. These solutions aim to improve productivity and sustainability by addressing localised farming challenges and digital trust in agriculture supply chains.
The finance sector, often manual and service-heavy, is also embracing vertical AI. Indian startups such as Signzy specialize in automating finance-specific functions like payroll, invoice matching, and mortgage processing. This domain-specific AI adoption is attracting heightened venture capital funding, with $524 million raised by Indian GenAI firms, many targeting finance verticals.
While less explicitly detailed, AI in legal tech likely focuses on document review automation, contract analysis, and compliance monitoring. As more industries get digitized, new use cases for vertical AI will continue to emerge.
India's growing human capital and maturing startup ecosystem present a significant opportunity to create and export vertical AI solutions globally. The future of AI is trending towards vertical, specific, and industry-embedded solutions rather than horizontal and general ones. This change drives practical, measurable benefits rather than hype, particularly for traditionally manual or service-heavy verticals.
However, challenges remain around go-to-market strategies and customer acquisition. Nevertheless, the benefits of vertical AI far outweigh the challenges such as bias and overfitting. Vertical AI is more precise, effective, and relevant in real-life applications compared to generic AI.
India has a unique opportunity to take the lead in creating AI that is Indian-centric for Indian issues. As this trend continues, we can expect to see vertical AI platforms like Tempus and PathAI in healthcare, PEAT's Plantix in agriculture, and Harvey (supported by OpenAI) in legal tech, making a tangible impact in India, aiding physicians in quicker and more precise diagnosis and assisting farmers in improving crop quality and yield.
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In the finance sector, Indian startups like Signzy are leveraging technology and artificial-intelligence to automate finance-specific functions, attracting venture capital funding and driving operational efficiencies (Finance, Artificial-Intelligence, Technology, Startup).
Due to the unique opportunity for Indian-centric AI solutions, we can anticipate the emergence of more vertical AI platforms tailored to specific industries, such as Tempus and PathAI in healthcare and Plantix in agriculture (Artificial-Intelligence, Startup, India).
