India Becomes World’s Largest Market for Generative AI App Downloads in 2025: Sensor Tower Report

New Delhi: India has emerged as the world’s largest market for generative AI app downloads in 2025, surpassing the United States, according to a new report by market intelligence firm Sensor Tower.

The report reveals that generative AI app downloads in India grew by 207 percent year-on-year in 2025, making the country the global leader in adoption of AI-powered apps and chatbots.

India Accounts for 20% of Global Generative AI Downloads

According to Sensor Tower, nearly 20 percent of all generative AI app downloads worldwide in 2025 came from India — meaning one in every five downloads globally originated from the country.

This surge has helped India overtake the US in terms of generative AI app adoption. However, despite the massive user base, revenue generation remains limited. Indian users contributed only about 1 percent of global in-app purchase revenue for generative AI apps in 2025.

Revenue Growth Lags Behind Downloads

While app downloads recorded an impressive 320 percent year-on-year growth, revenue growth has not kept pace.

In fact, in-app purchases declined by:

  • 22 percent in November

  • 18 percent in December

The data highlights a major challenge for AI companies — converting rapid adoption into sustainable long-term revenue.

Free Offers Drive Massive Adoption

The sharp rise in downloads has been attributed to aggressive promotional campaigns and the launch of new AI platforms such as DeepSeek, Grok, and Meta AI.

Additionally, several companies offered free premium access in India, significantly boosting downloads:

  • Google provided one year of free access to its AI Pro plan

  • Perplexity partnered with Airtel to offer its Pro plan free for Indian users

  • OpenAI offered one year of free access to ChatGPT Go

Following the launch of free ChatGPT Go access in November, ChatGPT revenue from India declined by 33 percent in November and 32 percent in December.

Despite this drop, OpenAI maintained its dominance, accounting for over 60 percent of generative AI in-app revenue in India.

India’s AI Momentum Continues

India’s growing AI adoption was also highlighted during the recent India AI Impact Summit. Earlier, OpenAI CEO Sam Altman stated that ChatGPT has over 100 million weekly active users in India, underscoring the country’s rapidly expanding AI ecosystem.

With strong user engagement and increasing digital adoption, India is positioning itself as a global powerhouse in generative AI usage, even as companies work to monetise the rapidly growing market.

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