Generative artificial intelligence (Gen AI) has moved beyond experimentation for Indian smartphone users, with 71 per cent now using Gen AI features multiple times every week, according to a new study by market intelligence firm CyberMedia Research (CMR). The report also indicates that AI has become a key consideration when buying a smartphone, ranking alongside performance and camera quality.
The CMR Smartphone AI Pulse 2026 study surveyed more than 2,000 smartphone users aged between 18 and 35 across eight Indian cities, examining how consumers use AI features and how these capabilities are influencing purchase decisions.
AI moves from feature to purchase driver
According to the report, smartphone buyers are increasingly evaluating devices based on their AI capabilities.
Performance remained the most important purchase criterion, cited by 78 per cent of respondents. Camera quality, including AI-powered enhancements, followed at 70 per cent, while 59 per cent identified AI features as a key purchase factor, placing them ahead of attributes such as design, price and battery life.
The study also found that 68 per cent of respondents expect AI features in their next smartphone. When presented with two similarly priced devices, 60 per cent preferred a balance between strong hardware and AI capabilities, while 25 per cent prioritised AI over hardware specifications.
Photography remains AI’s biggest use case
AI-powered photography continues to be the most widely adopted smartphone AI feature.
According to CMR, 77 per cent of respondents actively use AI imaging features such as low-light enhancement, portrait optimisation and scene detection. Meanwhile, 71 per cent use generative AI features several times a week for tasks including AI-assisted search, writing, summarisation, translation and conversational assistants.
The report also highlights differences across user groups. Around 49 per cent of respondents are heavy AI users who regularly use five or more AI features, while 41 per cent are moderate users and 10 per cent use AI only occasionally. Gamers emerged as the most active AI users, with 91 per cent using AI-enabled gaming features, followed by content creators at 86 per cent and professionals at 80 per cent.
Trust and privacy emerge as key factors
As AI usage grows, consumers are placing greater emphasis on privacy and transparency.
According to the study, 82 per cent of respondents said transparent data collection practices would improve trust in smartphone AI, while an equal share associated trusted chipset brands with better AI experiences. Additionally, 61 per cent said on-device AI processing improves both privacy and responsiveness.
Consumer awareness of the hardware powering AI is also increasing. The report found that 68 per cent consider chipsets important for enabling AI performance, while 75 per cent believe chipset capabilities have a meaningful influence on AI experiences. Gen Z consumers showed the highest awareness, with 83 per cent recognising the role of chipsets in AI-enabled smartphones.
