Advances in data use and computing to reach outside Tier 1 Indian cities

The increasing usage of 5G, Artificial Intelligence (AI) and Machine Learning (MI) will benefit Tier 2 & 3 cities and rural India.

October 10, 2023

The underserved regions of India will immensely benefit from the rollout of 5G coupled with Artificial Intelligence (AI) and Machine Learning (ML) applications. While 5G networks will provide increased bandwidth, higher capacity and lower latency, ML, as one of the most popular applications of AI, will likely change our daily lives.

Below are some of the prominent sectors that will benefit from new technologies:


One of the immediate applications of the 5G and AI/ML will be the use of smart medical devices. It will allow healthcare workers to do remote monitoring and care of patients' vitals and other health data in real time, regardless of their location. This will allow us to take healthcare at the doorsteps of Indians residing in remote regions.


The learning process will shift from verbal and plain imagery to more interactivity and three-dimensional experiences due to virtual reality. It will promote self-learning and create unique skill development across age groups. One of the most significant benefits will be the reach of educational resources in inaccessible areas of rural India thanks to high-speed internet and advanced learning content.


The rollout of 5G will broaden the market for over-the-top platform (OTT refers to technology that delivers streamed content over the internet) with multiple languages in India. The use of AI will lead the growth of media production in remote regions of India. It will also alter the live gaming scenario and social media platforms and see the emergence of new platforms.


Online shopping will enhance the consumer experience through closer-to-reality products and services. Predictive analysis of data to identify the potential needs of individuals will gain pace and increase repeat sales from customers. Also, backed by improved logistics, 5G will expand the e-commerce market to rural India.


The change in credit and risk assessment profile, availability and provision of finance and transfer of capital will undergo major change due to the AI-led data analysis. Credit availability in Tier 2 and 3 cities of India will improve due to the integration of public and private information networks. The introduction of digital currency by the Reserve Bank of India, will enable efficient money transfers and faster settlements.


India is among the largest producers of wheat, cotton, rice and other agricultural items, with an estimated 60% of the workforce engaged in agriculture. Climate change and its impact on the environment is affecting agriculture immensely. Flood and drought forecasts, changes in sea levels and earthquake predictions will become more accurate with the new technological changes.

India, the second largest mobile users market, has witnessed digital transformation with the advancements in the telecom and technology sector. The rollout of the 5G network across India and the advent of AI/ML will extend the benefits of technology beyond metros to tier 2/3 cities and rural regions, thereby leading to the digital transformation of the economy.