Artificial Intelligence (AI) the magic word has changed our personal as well as working life. Owing to its prospective features, adoption of AI is being treated as an important one in the industry 4.0. Since its emergence, it brings lot of opportunities to different industries as well as challenges. Thus a lot of AI powered technologies have been developed with potential to improve the economy by improving the quality of life significantly. In India, AI contributes a lot in different spheres of the economy such as agriculture, manufacturing, and services sector like finance, transportation, public administration and defence. And thus it considerably drives GDP growth. As a result, the gains from AI are also expected to have a magnified effect on the above sectors. Thus, in the globalization era, no country can isolate itself from the impact of the advances in technology. However, the benefits can be maximized and losses can be minimized by putting necessary infrastructure and policy in place. Though several countries have decided their strategy for AI, India has not yet formulated its strategy. Hence, the present article reviews the relevance of AI in Indian industries at present and to the future and by the way it suggests way forward for India. © IAEME Publication.