NEW DELHI: India has emerged as the world's fifth most digitalised economy, overtaking several advanced nations as rapid adoption of artificial intelligence, digital public infrastructure and online services reshape the global technology landscape, according to a report released on Friday.
Key Findings of the Report
The State of India's Digital Economy (SIDE) 2026 report by the ICRIER-Prosus Centre for Internet and Digital Economy (IPCIDE) ranked India fifth globally on the CHIPS-Combined Index, behind the US, China, Singapore and the UK. India ranked eighth in 2025.
Understanding the CHIPS Framework
The CHIPS framework measures countries across five pillars - connectivity, digital harnessing, innovation, protection and sustainability - covering 71 economies. The report highlighted that the global digital order is increasingly becoming 'tripolar', with the Indo-Pacific emerging as a strong counterweight to North Atlantic dominance led by the US and Europe.
India's rise in the rankings reflects substantial progress in digital public infrastructure, widespread internet connectivity, and government initiatives promoting digital payments and e-governance. The rapid adoption of artificial intelligence across sectors has also contributed significantly to this achievement.
The report underscores India's growing influence in the digital economy, positioning it as a key player in the global digital landscape alongside major economies.
