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Artificial intelligence is no longer just a buzzword in Asia Pacific. A new report by IDC, commissioned by Dell Technologies and Nvidia, paints a detailed picture of how enterprises across the region are investing in AI, GenAI and machine learning. The study, published as “Creating Your AI Implementation Blueprint” in January 2025, highlights both the growth potential and the challenges that companies face while adopting these technologies.
The report highlights how countries like India are moving quickly, with even government agencies experimenting with AI models. But the study also reminds us that talent shortages, compliance issues and rising IT costs are slowing down progress.
IDC’s research notes that 4 percent of Indian organizations are already ahead of their peers in AI and ML adoption. For a country juggling multiple priorities, this figure signals intent. Spending is also increasing. Across APAC, 84 percent of organizations plan to put in between USD 1–2 million (₹87 lakh to ₹1.74 crore) towards GenAI projects this year. Interestingly, businesses here are dedicating 38 percent of their AI budgets to GenAI compared with the global average of 33 percent.
Venkat Sitaram, Senior Director at Dell Technologies India, said, “India is fast emerging as a frontrunner in APAC’s AI landscape, with 4% of organizations already leading in adoption. To accelerate this momentum, Dell Technologies commissioned research to help businesses build actionable AI blueprints across AI, GenAI, and ML.”
The AI-centric server market in APAC is expected to touch USD 23.9 billion (₹2.08 lakh crore) by 2025. Industries such as banking, manufacturing, energy, healthcare and retail are taking the lead. For example:
Public cloud remains the top choice for AI deployment in the region. At the same time, the report shows a growing interest in private and hybrid AI setups, mostly because of security and data-sharing concerns. Over 72 percent of enterprises say they now need AI-ready skills in new hires. In practice, this often means firms are leaning on external developers or tech partners.
The IDC study is clear that a phased approach works best. Instead of chasing every shiny new tool, businesses are advised to focus on high-impact use cases. Data governance, security, and workforce upskilling remain the big pieces of the puzzle. For many, this means striking partnerships with vendors who can provide scalable infrastructure and AI expertise.
