India’s internet user base tops 950 million as rural growth, AI drive adoption

As of 2025, India's internet user population has soared to over 950 million, spurred by remarkable growth in rural regions and the increasing embrace of artificial intelligence (AI) technologies. This surge, as highlighted in an industry report, marks India as one of the globe's largest and most rapidly developing digital markets. The Internet and Mobile Association of India (IAMAI) revealed that the number of Active Internet Users (AIU) rose by approximately 8% year-on-year, reaching 958 million. Notably, rural areas contribute significantly to this figure, boasting around 548 million active internet users, which constitutes more than half of the total user base. Remarkably, rural internet user growth is occurring at nearly four times the rate of urban areas. Despite this growth, the report indicates that approximately 579 million individuals, or 38% of India's population, still do not use the internet. This statistic highlights the considerable digital divide that persists and the potential for further expansion in the market. The insights stem from the ICUBE study carried out by IAMAI in collaboration with Kantar, which included surveys from over 87,000 consumers across more than 400 towns and 1,000 villages. AI technologies are becoming increasingly popular, with 44% of users actively utilizing AI-driven features such as voice search, image search, chatbots, and AI-based filters. The younger demographic shows the most engagement, with 57% of users aged 15 to 24 and 52% of those aged 25 to 44 reporting AI usage in the past year. Short-form video content has also emerged as a vital catalyst for user engagement, with 588 million individuals—approximately 61% of the internet user base—consuming this type of content. Interestingly, rural users have slightly surpassed their urban counterparts in this category, particularly among younger viewers. In urban centers, online shopping trends are deepening, with 230 million people, or 56% of the urban active internet community, having made online purchases within the last year. Alongside traditional marketplaces, quick commerce and social commerce are gaining traction. Moreover, the trend of multi-device internet usage is on the rise, with 193 million users accessing the internet through multiple devices, accounting for about 20% of active users—up from 165 million in 2024. Shared devices continue to be a significant facilitator of internet access, with 18% of users relying on someone else's mobile phone, a trend that is particularly prevalent in rural areas.