AI rewrites advertising model as India emerges as global AdTech hub: Report
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New Delhi, June 2 : AI is reshaping every layer of the global advertising industry and positioning India to produce global AdTech champions, a report said on Tuesday.
The report from consulting firm Redseer said that India’s 2.7 million engineering and technology enrollments annually, 20–24 million GitHub developers and nearly 1,900 global capability centres generating $65–75 billion in exports created a deep foundation for AI‑led product development.
As global advertising crossed the $1 trillion mark, AI is expediting a shift to more automated, data‑driven and outcome‑oriented advertising models, in which India will play a leading role.
AI is beginning to reshape every major layer of the global advertising industry, from media buying and creative production to measurement, commerce, and customer targeting, the report noted.
The firm projected India’s digital advertising market to grow from roughly $21 billion in 2025 to $33–42 billion by 2030, providing an additional domestic engine for AI-led advertising innovation.
Digital formats now account for nearly 75–80 per cent of global advertising spend, with 80–85 per cent of digital advertising already transacting programmatically.
“What makes this transition different is that AI is not adding another layer to advertising, it is rewriting every layer of it at the same time,” said Mukesh Kumar, Associate Partner, Redseer Strategy Consultants.
“The engineering work required to rebuild the advertising stack around AI, from ML-led bidding systems and identity graphs to transformer-based recommendation engines and agentic advertising infrastructure, maps directly to the talent India has developed over the last three decades,” Kumar added.
Indian-origin AdTech firms increasingly operate as global product companies rather than outsourced technology vendors, and they are beginning to capture software and platform margins instead of traditional services margins, the report noted.
As AI adoption accelerates, open ecosystems with strong data infrastructure, advertiser relationships, publisher integrations, and AI capabilities are expected to strengthen their competitive position globally.
—IANS
aar/ag
The report from consulting firm Redseer said that India’s 2.7 million engineering and technology enrollments annually, 20–24 million GitHub developers and nearly 1,900 global capability centres generating $65–75 billion in exports created a deep foundation for AI‑led product development.
As global advertising crossed the $1 trillion mark, AI is expediting a shift to more automated, data‑driven and outcome‑oriented advertising models, in which India will play a leading role.
AI is beginning to reshape every major layer of the global advertising industry, from media buying and creative production to measurement, commerce, and customer targeting, the report noted.
The firm projected India’s digital advertising market to grow from roughly $21 billion in 2025 to $33–42 billion by 2030, providing an additional domestic engine for AI-led advertising innovation.
Digital formats now account for nearly 75–80 per cent of global advertising spend, with 80–85 per cent of digital advertising already transacting programmatically.
“What makes this transition different is that AI is not adding another layer to advertising, it is rewriting every layer of it at the same time,” said Mukesh Kumar, Associate Partner, Redseer Strategy Consultants.
“The engineering work required to rebuild the advertising stack around AI, from ML-led bidding systems and identity graphs to transformer-based recommendation engines and agentic advertising infrastructure, maps directly to the talent India has developed over the last three decades,” Kumar added.
Indian-origin AdTech firms increasingly operate as global product companies rather than outsourced technology vendors, and they are beginning to capture software and platform margins instead of traditional services margins, the report noted.
As AI adoption accelerates, open ecosystems with strong data infrastructure, advertiser relationships, publisher integrations, and AI capabilities are expected to strengthen their competitive position globally.
—IANS
aar/ag
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