Nandan Nilekani: Startups and Small Businesses to Drive Job Creation in AI Era
Infosys co-founder Nandan Nilekani predicts that startups and small businesses will be the primary drivers of job creation in the age of AI. He also highlighted the potential of tokenization to improve access to capital for SMEs.
Startups and small businesses are poised to become the main engines of job creation as artificial intelligence reshapes the nature of work and raises concerns about displacement, according to Infosys co-founder Nandan Nilekani.
Speaking at the Global Fintech Fest (GFF) 2026, Nilekani contrasted large corporations, which he believes will increasingly use AI for automation and workforce reduction, with smaller entities. He argued that smaller businesses possess more dynamic roles that are inherently harder to automate, making them crucial for future employment.
Nilekani pointed to the rapid growth of India's startup ecosystem as evidence, noting the increase from approximately 10,000 startups in 2015 to around 150,000 in 2025. He projected this number could reach one million by 2035.
Furthermore, Nilekani emphasized the role of tokenization in leveling the playing field for small and medium-sized enterprises (SMEs). He suggested that tokenizing assets, combined with AI agents that actively seek financing and market opportunities, could grant SMEs access to capital and financial services previously available primarily to larger corporations. This development is seen as the next phase in India's digital public infrastructure evolution.