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From Brain Drain to Brain Gain: How India Can Outflank the US in AI

 |  March 28, 2025

By: S. Yash Kalash (Center for International Governance Innovation)

In this article, author S. Yash Kalash discusses how India can leverage its AI and tech talent amid shifting global dynamics.

As the race for artificial intelligence (AI) dominance accelerates worldwide, India has a unique opportunity to strengthen its position by fostering and retaining its domestic tech expertise. This strategy gains even more significance in light of the challenges the United States faces in attracting and keeping foreign-born professionals, particularly as immigration policies come under heightened scrutiny.

The U.S. AI industry has long benefited from immigrant contributions—a fact reflected in key statistics. Over half of the country’s top AI firms were founded or co-founded by immigrants or their children, with Indian nationals playing a particularly prominent role. Approximately 65% of leading AI companies in the U.S. have some connection to Indian-origin leadership, while in academia, international students account for 70% of full-time AI-related graduate programs. This heavy reliance on foreign talent could become a vulnerability if restrictive visa policies and political uncertainty discourage future inflows.

With limitations on H-1B visas, prolonged green card backlogs, and rising nationalist rhetoric, highly skilled professionals may begin seeking alternative opportunities outside the U.S. Industries that have traditionally depended on a steady influx of international talent—particularly in AI, engineering, and computer science—could face significant disruptions as a result.

China provides a compelling case study in reversing brain drain, having introduced various incentives to attract scholars and entrepreneurs back home. However, China’s authoritarian political climate has made it less appealing for many expatriates to return.

India, with its vast pool of tech talent and long-standing tradition of sending professionals abroad, has the potential to implement its own strategies for talent retention and repatriation. By adopting policies that encourage Indian AI and tech professionals to remain in or return to the country, India could not only build a more robust domestic AI ecosystem but also position itself as a key player in the global AI landscape…

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