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Why There Is a Talent Shortage in AI in India and Globally

Introduction : 

Artificial Intelligence, or AI, isn't just in movies anymore. It’s here. Companies use it for everything from recommending videos to helping doctors find diseases. And because it’s everywhere, they need people who know how to build and use it. 


TOI Report on AI


But there’s a big problem: they can’t find enough of the right people.


This isn't just happening in one place. It's a issue in India, the United States, and all over the world.

The Numbers Don't Lie : 
Think of it like a school project where you need 5 people in a group, but only 2 show up.

  • In India, a study says there could be 2.3 million AI-related jobs by 2027. But the number of people qualified for those jobs might only be 1.2 million. That’s a shortage of over 1 million people!

  • In the United States, it’s estimated that half of all AI jobs might stay empty because not enough people have the skills needed.

A Real-Life Example of the Problem
Imagine a company in Bangalore wants to hire 3 people to work on AI.

  • They get 700 applications.
  • They pick 28 to look at more closely.
  • They interview 12 of the best.
  • In the end, they hire... 0.

Why? Because most of the applicants knew the names of the AI tools, but couldn't show they could solve a real problem with them. They had certificates, but not the right practical experience.

This happens all the time.


So, Why Is There Such a Big Gap?


1. People Learn the "What," Not the "How."

Many learn AI basics online—like how to write a simple piece of code. But companies need people who can:

Look at a messy, real-world problem.

Figure out if and how AI can solve it.

Explain their solution to others who aren't tech experts.
This deeper skill is much rarer. A LinkedIn report found that 80% of workers feel unprepared for the skills needed in the next few years.


2. Colleges Are Playing Catch-Up

Many university courses teach the theory behind computers, but the world of AI moves super fast. Often, what’s taught in class isn’t exactly what companies need new hires to do on their first day. There’s a mismatch.

3. Certificates ≠ Skills. 

You can get a certificate for completing an online course in a weekend. That’s great for learning basics! But a certificate alone doesn't prove you can handle unexpected problems or work with messy, real data. Companies are finding that many applicants look good on paper, but can't do the actual job.

This shows up what is happening in hiring. LinkedIn data shows that more than half of the HR professionals feel that only half of the applications they receive truly meet the desired skills.



This is a Global Issue  :

Big companies like Google, Amazon, and Microsoft have even started their own training programs because they can’t find enough ready-to-hire talent. The field of AI is growing faster than the number of skilled people, everywhere.

India’s Special Situation :

India has a huge opportunity. Tons of students study engineering, and more people in India take online AI courses than anywhere else in the world!

But there's a catch: reports show that for every 10 AI job openings, there’s only 1 qualified engineer available. While the interest is high, the high-level skill needed is still low compared to what the global market wants.

What This Means For... 

For Job Seekers : 

  • If you develop real, practical skills, companies will really want you and pay you well.
  • A degree or certificate is a good start, but it’s not enough on its own.
  • Learning to solve actual problems is the key.


For Companies: 

  • Projects get delayed.
  • It costs more to get things done.
  • New, cool startups can’t grow if they can’t find the right team.

For The Economy: 

Progress and new inventions slow down if there aren’t enough people to build them.




What Needs to Change?

Companies need to train people more, not just hope to find the perfect hire.

Schools & Colleges need to update courses to include more hands-on, practical work.

For job seekers they should focus on learning by doing. Don’t just watch videos or collect certificates. Work on small projects, solve real puzzles, and try to build something. That practical experience is pure gold to employers.

According to NASSCOM - Deloitte Report : India`s AI Talent Pool to grow 1.25 million by 2027 companies should invest more in training and reskilling  to bridge this gap.


The Bottom Line 

The AI talent shortage is real. The need for AI has exploded, but the number of people with the right, ready-to-use skills hasn't kept up.

The future will have tons of AI jobs. The people who will get them are the ones who can actually use AI to get things done in the real world.



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