India Leads in GenAI Strategy Adoption, Says Nutanix Cloud Index

Nutanix, a global leader in hybrid multicloud computing, has unveiled the findings of its seventh annual Enterprise Cloud Index (ECI) survey and research report. The report offers a detailed analysis of global enterprise progress in cloud adoption, with a focus on emerging trends in Generative AI (GenAI), investment priorities, and the challenges organizations face during implementation.

86% of Indian enterprises have already developed a GenAI strategy, underscoring the country’s strong commitment to fostering AI-driven innovation. This positions India as a key player in the global AI landscape, reflecting its ambition to lead AI adoption trends.

With businesses in India embracing GenAI for productivity, automation, and innovation, the ECI report highlights that Indian enterprises are outpacing global and regional trends. 90% of Indian respondents anticipate rising IT costs due to GenAI implementation, yet 75% expect a positive return on investment within one to three years.

Many organizations have reached an inflection point with GenAI implementation and deployment. The report reveals key trends, including challenges with scaling GenAI workloads from development to production, new requirements GenAI creates for data governance and privacy, and the need for seamless integration with existing IT infrastructure.

India’s rapid embrace of Generative AI signals a transformative leap in innovation. While containerization and Kubernetes are key to scaling AI-driven solutions, efforts to modernize infrastructure, fortify data security, and upskill talent are also crucial. Organizations that invest strategically in these areas are more likely to unlock GenAI’s full potential and gain a competitive edge in the AI-powered future.

Enterprise IT in India: Balancing Innovation with Security

The findings highlight India's strong reliance on cloud-native applications and containerization to support GenAI and modern workloads. 81% of organizations in India are deploying GenAI applications, surpassing the global average of 70% and the APJ average of 78%.

Nearly 99% of Indian enterprises are in the process of containerizing applications, making it the new infrastructure standard. 85% recognize the need for significant improvements in their IT infrastructure to support cloud-native applications effectively.

Furthermore, 95% acknowledge that GenAI is reshaping organizational priorities, with security and privacy at the forefront. Over 90% of organizations prioritize data privacy, but 95% believe more must be done to enhance the security of their GenAI models and applications.

Scaling GenAI: IT Infrastructure Modernization is Critical

Running cloud-native applications at enterprise scale requires infrastructure that ensures security, data integrity, and resilience. 98% of Indian organizations face challenges in scaling GenAI workloads from development to production, with integration into existing IT infrastructure identified as the top challenge.

As a result, IT infrastructure modernization is the top investment priority for Indian enterprises to support GenAI at scale.

GenAI Adoption Requires Workforce Upskilling

Beyond technology, organizations recognize the need for skilled talent. 52% of Indian enterprises plan to invest in IT training, while 48% aim to hire new talent to support GenAI initiatives. Encouragingly, 53% of respondents see advancements in GenAI as an opportunity to upskill and become AI experts.

Key Findings for India:

• 99% of enterprises are in the process of containerizing applications

• 86% have a GenAI strategy, with 66% actively implementing it

• 80% use GenAI for cybersecurity and fraud prevention; 76% for customer support

• 95% say GenAI is shifting organizational priorities toward security and privacy

• 96% face challenges scaling GenAI, mainly due to integration issues

• 71% believe cybersecurity investment is key to GenAI success; 61% emphasize infrastructure modernization

• 90% expect rising IT costs due to GenAI; 75% see ROI within 1–3 years

• 52% plan IT training; 48% plan to hire new GenAI talent

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