India dominates AI app market, capturing 21% of global downloads in 2024

According to Sensor Tower data, India has established itself as the leading market for AI mobile application adoption, accounting for 21% of global downloads, which exceeded 2.2 billion in the first 8 months of 2024. Popular AI applications include chatbot platforms such as ChatGPT, Microsoft Copilot, and Google Gemini, as well as various image and video editing apps. However, a significant number of Indian users access these applications for free. In contrast, North America and Europe generated 68% of in-app purchase revenue from AI applications, which surpassed US$ 2 billion this year, with India contributing less than 2%. The total revenue from AI applications is projected to reach US$ 3.3 billion in 2024, a 51% increase from the previous year.

In 2023, global AI and chatbot application downloads surged over 14 times from the prior year to nearly 600 million. By August 2024, this figure surpassed 630 million. ChatGPT topped global downloads, followed by Remini, Photoroom AI Photo Editor, and Google Gemini. Partner and co-founder at Counterpoint Research, Mr. Neil Shah, highlighted the growing use of consumer chatbots for tasks like transcription, translation, and summarization, indicating a shift toward an "app-less ecosystem" driven by AI processing capabilities. To support this trend, manufacturers must innovate with faster processors and increased memory, as effective AI applications require at least 12 GB of RAM to enable agentic workflows.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.