Artificial Intelligence (AI) has moved from the edges of experimentation to the centre of India’s higher education system. According to the new EY-Parthenon–FICCI report titled “Future-Ready Campuses: Unlocking the Power of AI in Higher Education,” over 60 per cent of higher education institutions (HEIs) in India now allow students to use AI tools. Whereas, more than half, 53 per cent, have begun using generative AI to develop learning materials. The report, based on a survey of 30 leading HEIs, offers one of the clearest snapshots yet of how universities and colleges are embracing AI for both teaching and administration. AI adoption snapshot: Where India’s campuses stand The study finds that 40 per cent of HEIs have deployed AI-powered tutoring systems and chatbots, while 39 per cent have introduced adaptive learning platforms, and 38 per cent are using AI for automated grading. Together, these numbers suggest that Indian higher education is already well into the AI transformation phase—redefining how students learn, how teachers design curricula, and how institutions evaluate performance. From experimentation to integration AI is no longer a futuristic pilot project. Across classrooms, it is being used for automated grading, plagiarism detection, adaptive tutoring, and curriculum design. Generative AI tools now assist faculty in preparing teaching materials, while chatbots provide on-demand student support—marking a shift toward what the report calls “AI-enabled knowledge ecosystems.” However, the report also cautions that this integration must be guided by strong governance frameworks. With more than 56 per cent of institutions already implementing AI-related policies, India is building the regulatory foundation to manage both the promise and the risk of this technology. What does it recommend? One of the standout recommendations of the report is to embed foundational AI literacy across all disciplines. Whether in humanities, business, or sciences, students must develop a baseline understanding of AI concepts, ethics, and applications. This includes fostering digital skills, critical thinking, and ethical awareness around data use and algorithmic bias. In STEM programmes, the integration goes further—introducing advanced content such as machine learning, natural language processing, and robotics into core curricula. The goal, according to the report, is to ensure that Indian graduates are not just AI users, but AI creators and innovators. What are the challenges? While the enthusiasm for AI is high, progress across enablers remains uneven. The report flags faculty readiness and digital infrastructure as areas needing urgent attention. To effectively scale AI adoption, institutions must invest in faculty training, improve digital infrastructure, and develop coherent institutional governance models for AI use. Avantika Tomar, Partner and Education Sector Leader at EY-Parthenon India, notes that India must “move beyond experimentation to scale” — integrating AI tools across teaching and campus operations while embedding AI literacy in every subject. These steps, she adds, will help position India “at the forefront of AI-enabled knowledge and innovation worldwide.” The report highlights that as Indian HEIs advance toward AI-driven operations, the challenge lies in maintaining the balance between innovation and integrity, ensuring that technology enhances human learning, rather than replacing it.