As India further solidifies its status as a global digital hub, Infosys co-founder and architect of Aadhaar Nandan Nilekani has made a bold forecast: by 2035, India will have one million startups. Addressing the Carnegie Global Tech Summit, Nilekani presented a grand vision for India’s startup ecosystem, crediting this anticipated boom to the ten-year building of digital public infrastructure and the fast-changing nature of artificial intelligence (AI).

This estimate is an astonishing jump from the around 2,000 startups that there were in India in 2015. For Nilekani, India already has more than 150,000 startups now, with the growth being exponential over the decade. “It will go to one million by 2035,” he noted. “It’s a radical transformation, fueled by a cycle of innovation, success, re-investment and scale.”

Foundations Laid Over a Decade
Nilekani stressed that India’s transformation is the result of years of careful foundation work. He mentioned critical milestones in 2016 such as Aadhaar reaching one billion users, the launch of Unified Payments Interface (UPI), the launch of Reliance Jio, and the BHIM app as foundational points that allowed the digital economy to flourish.

“Such a change doesn’t happen overnight,” Nilekani stated. “It requires years of laying the correct foundations. But now that we have established the foundations, we can go faster, since we know the direction to go.”

AI and the Next Startup Frontier
Artificial intelligence emerged as a central theme in Nilekani’s keynote. He described AI as the next catalyst for startup innovation, asserting that India is uniquely positioned to harness its potential due to widespread digital literacy and mobile penetration.

With more than 600 million WhatsApp users, close to 400 million individuals using UPI, and increasing adoption of local digital services, Nilekani is convinced that India is embarking on an AI-driven stage of development. “We will transition from Hindi and English to all prominent Indian languages, from touchscreens to voice and video interfaces, and from fixed knowledge to dynamic, context-aware information,” he mentioned.

He further stated that next-generation AI solutions need to be inclusive in nature by providing easy-to-use user interfaces, particularly for non-English language speakers and new digital users. Nevertheless, he warned that the public sector can expect to hit major roadblocks in scaling AI implementations because of fragmented data governance.

“Data is the lifeblood of AI, but it’s scattered across ministries and departments,” he said. “To really unlock AI’s potential in governance, we need integrated systems and a renewed focus on public trust.”

Public Sector Reforms and Entrepreneurial Surge
Nilekani’s optimism was rooted in concrete examples. He referred to how successful startups are plowing back into the ecosystem by mentoring founders, investing in ventures, and enabling collaborative innovation. “Every successful startup can give rise to hundreds more,” he said. He also mentioned that future problem-solving will be concentrated in areas such as climate change, clean energy, space tech, and public healthcare.

On the governance front, Nilekani referred to the necessity for structural changes. “We need to think of how to develop interoperable digital systems that cut across jurisdictions,” he stated. “If we don’t fix data silos, we run the risk of slowing down the very change we’re trying to speed up.”

A Future Rethink on Work and Productivity
The discussion also turned philosophical. Nilekani, contemplating the AI-based future of work, stated that India needs to start reconceiving the nature of productivity and time. “If AI liberates time, what will we do with it? Can we conceive of retiring at 40, or working three-day weeks?” he questioned.

He foresaw that India would experience a change in social norms, in which hierarchies would no longer depend on occupational positions or wealth, but perhaps on creativity, influence, or knowledge contribution.

Conclusion
Nandan Nilekani’s forecast of a million startups by 2035 may sound ambitious, but the trajectory of India’s digital economy makes it increasingly plausible. With its robust digital public infrastructure, youthful demographics, and AI-ready ecosystem, India is poised to become the world’s largest startup hub. However, Nilekani’s message was clear: the journey ahead requires inclusive design, collaborative governance, and a willingness to rethink the very foundations of productivity and innovation.