India is well positioned to become an AI powerhouse, and the path forward is clear: continue to build digital and compute infrastructure, upskill at scale, back founders, and maintain a pro-innovation policy environment focused on measurable impact, said Christoph Schweizer, CEO of Boston Consulting Group.
While the US and China are clear leaders in the AI race, India belongs to the emerging AI middle powers group, Schweizer told ET in an exclusive interview.
"Among the emerging AI middle powers, Japan and Korea draw on their hardware and deep tech strengths, while Saudi Arabia and the UAE channel vast capital into data centres and upskilling. India belongs in this group and brings real advantages," the consultant said. "It stands out with its skilled, scalable talent, fast-moving adaptable entrepreneurs, and roll out of targeted incentive schemes and supportive programs by the present government."
Challenging the view that AI could disrupt India's IT outsourcing industry, Schweizer said, "Our view is that the IT outsourcing market will continue to grow," but what is really changing is the rise of a second growth engine, the global capability centres (GCCs).
"Global companies are setting up advanced centres in India, many focused on AI. What began as a cost play has become a capability play, driven by exceptional and differentiated talent," he said. "The GCC space is adding a powerful new layer of growth and long-term strength to India's technology ecosystem."
Consulting firms like BCG, like most top businesses, are dealing with the disruption caused by AI, particularly now that AI can perform tasks like number crunching, in-depth analysis, extensive research and even some aspects of strategy planning.
"AI is definitely a major disruption for the consulting industry, but for BCG, I see it as a massive opportunity," Schweizer said.
"Regardless of the industry they operate in, every company is now facing big and complex questions around technology, data, processes, organisation, skills, culture and leadership. They need partners to help them navigate that transformation, and that is where I see enormous demand emerging," he explained.
As technology, analytics, and AI redefine consulting, the talent pyramid is shifting, even for BCG.
Schweizer said BCG has "reshaped its talent mix," with more hires coming from technology, engineering, and science backgrounds, while the firm upskills all 33,000 employees on AI tools. Around 3,000 consultants now work in BCG X, its dedicated AI and design unit.
"We're builders of custom GPTs," he said, noting that as AI transforms workflows, "empathy, humility, and human connection remain at the heart of how we work."
He said BCG is both a builder and a collaborator in AI, developing proprietary AI tools like Deep, Editor AI, and Retail AI, while partnering with major tech firms to "use whatever delivers the greatest impact for clients."
The consultant believes CEOs can't afford to wait on AI because it is evolving too quickly, but moving fast only works with focus and strong change management. "Many companies chase too many use-cases and see little return," Schweizer said.
While the US and China are clear leaders in the AI race, India belongs to the emerging AI middle powers group, Schweizer told ET in an exclusive interview.
"Among the emerging AI middle powers, Japan and Korea draw on their hardware and deep tech strengths, while Saudi Arabia and the UAE channel vast capital into data centres and upskilling. India belongs in this group and brings real advantages," the consultant said. "It stands out with its skilled, scalable talent, fast-moving adaptable entrepreneurs, and roll out of targeted incentive schemes and supportive programs by the present government."
Challenging the view that AI could disrupt India's IT outsourcing industry, Schweizer said, "Our view is that the IT outsourcing market will continue to grow," but what is really changing is the rise of a second growth engine, the global capability centres (GCCs).
"Global companies are setting up advanced centres in India, many focused on AI. What began as a cost play has become a capability play, driven by exceptional and differentiated talent," he said. "The GCC space is adding a powerful new layer of growth and long-term strength to India's technology ecosystem."
Consulting firms like BCG, like most top businesses, are dealing with the disruption caused by AI, particularly now that AI can perform tasks like number crunching, in-depth analysis, extensive research and even some aspects of strategy planning.
"AI is definitely a major disruption for the consulting industry, but for BCG, I see it as a massive opportunity," Schweizer said.
"Regardless of the industry they operate in, every company is now facing big and complex questions around technology, data, processes, organisation, skills, culture and leadership. They need partners to help them navigate that transformation, and that is where I see enormous demand emerging," he explained.
As technology, analytics, and AI redefine consulting, the talent pyramid is shifting, even for BCG.
Schweizer said BCG has "reshaped its talent mix," with more hires coming from technology, engineering, and science backgrounds, while the firm upskills all 33,000 employees on AI tools. Around 3,000 consultants now work in BCG X, its dedicated AI and design unit.
"We're builders of custom GPTs," he said, noting that as AI transforms workflows, "empathy, humility, and human connection remain at the heart of how we work."
He said BCG is both a builder and a collaborator in AI, developing proprietary AI tools like Deep, Editor AI, and Retail AI, while partnering with major tech firms to "use whatever delivers the greatest impact for clients."
The consultant believes CEOs can't afford to wait on AI because it is evolving too quickly, but moving fast only works with focus and strong change management. "Many companies chase too many use-cases and see little return," Schweizer said.
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