Zoho Study Finds 71% of Indian Organisations Strengthened Privacy Post AI Adoption.
A new report titled The AI Privacy Equation: India Market Report, conducted by Arion Research LLC and commissioned by Zoho, reveals that India is rapidly advancing in responsible AI adoption. The study shows that 93% of Indian organisations now use AI, and 71% have strengthened their privacy measures after integrating AI into their operations. This reflects a proactive approach toward safeguarding data while scaling AI capabilities.
According to the findings, Indian enterprises demonstrate a mature understanding of AI-related privacy and ethics, with 90% acknowledging the broader privacy implications of AI and 92% having dedicated privacy teams or officers, surpassing global averages. A significant 65% of organisations allocate more than 20% of their IT budgets to privacy protection, underscoring a strong commitment to data governance. Critical high-risk areas identified include cloud storage of customer data, biometric data handling, and training AI models on customer interactions.
Ethical AI governance is also gaining ground, with 61% establishing ethics committees, 56% following data minimisation practices, and 55% conducting regular privacy audits. Experts note that Indian enterprises are disproving the notion that privacy slows down AI deployment, instead showing that strong governance accelerates trust and adoption.
The report further highlights India’s progress in AI maturity, with 46% of businesses achieving advanced AI integration across software development, customer service, product development, and decision support. However, challenges persist, including data quality issues (44%), regulatory complexity (39%), and workforce skill gaps.
Overall, the study positions India as a global leader in responsible AI, showcasing how privacy-focused governance can serve as a strategic advantage in scaling AI innovation sustainably.