Over 60% of Indian Higher Education Institutions Embrace AI Tools: EY-Parthenon Report Highlights Transformative Impact

New Delhi:

According to a recent survey of 30 leading higher education institutions (HEIs), more than 50 percent of Indian HEIs are utilizing generative AI to create learning materials, while approximately 60 percent allow students to use AI tools.

The report titled "Future-Ready Campuses: Unlocking the Power of AI in Higher Education," released by Ernst and Young-Parthenon in collaboration with FICCI, reveals that over 56 percent of Indian HEIs have already implemented AI-related policies, with 40 percent deploying AI-powered tutoring systems and chatbots.

This comprehensive survey examines AI adoption across core academic and operational functions, analyzing usage patterns, governance readiness, curriculum innovation, and faculty development. The report introduces a diagnostic maturity model and provides an actionable roadmap to accelerate system-wide AI adoption.

"Over half of HEIs (53 percent) are using generative AI to develop learning materials, while 40 percent are deploying AI-powered tutoring systems and chatbots. A further 39 percent have introduced adaptive learning platforms and 38 percent are leveraging AI for automated grading," the report states.

Notably, at least 60 percent of HEIs are permitting the use of AI tools. These findings demonstrate how AI is already transforming curriculum design, assessment models, and classroom engagement strategies.

Across teaching and learning environments, AI is being implemented for various applications, including adaptive tutoring, automated grading, plagiarism detection, curriculum design, and career guidance. Generative AI tools for creating teaching materials, AI-powered tutoring or chatbots, and personalized adaptive learning systems are emerging as the top use cases.

The report notes that while classroom-level risks primarily concern teaching, learning, and assessment, AI tools usage also raises significant data governance questions. Many AI platforms rely on student submissions, engagement patterns, or biometric information for functionality.

Improper handling of such data may expose institutions to privacy breaches, regulatory penalties, and reputational damage. These risks are best addressed at the institutional level through contracts with technology providers, compliance mechanisms, and centralized governance structures, with faculty policies aligning with these safeguards.

The report emphasizes the importance of embedding foundational AI literacy across programs, ensuring all students develop baseline competence including core AI concepts, ethical awareness, digital skills, critical thinking, and familiarity with practical applications, regardless of discipline.

For STEM disciplines, this involves incorporating advanced AI content such as machine learning, natural language processing, and robotics into core curricula, equipping graduates with specialized technical expertise.

"To unlock the full potential of AI, India must move beyond experimentation to scale -- by integrating AI tools across teaching and campus operations, embedding AI literacy across subjects, investing in robust digital infrastructure, and strengthening faculty capacity and governance frameworks," said Avantika Tomar, Partner and Education Sector Leader, EY-Parthenon India.

EY-Parthenon is a brand under which numerous EY member firms globally provide strategy consulting services, helping clients navigate complexity by reimagining ecosystems, reshaping portfolios, and reinventing themselves for a better future.

The report highlights that increased student interaction with AI must be supported by clear classroom policies, thoughtful curriculum design, and updated institutional governance frameworks. It also flags that progress across critical enablers—including technology capabilities and faculty readiness for AI integration—remains uneven.