India, with its vast population of approximately 1.43 billion people, leads the world in emigration rates. Between 1990 and 2020, around 78.26 million Indians emigrated from the country, according to United Nations data. As of May 2024, the global Indian diaspora numbers approximately 35.42 million, comprising 15.85 million non-resident Indians (NRIs) and 19.57 million people of Indian origin (PIOs), according to the Indian Ministry of Foreign Affairs.
Overseas Indians have a significant impact on their home country’s economy, contributing approximately 3.5% to India’s GDP through remittances. In 2023, India received about $120 billion in remittances, nearly double the amount received by Mexico, which was $66 billion. This marked an increase of over 7.5% from the previous year, driven by high demand for both skilled and unskilled Indian workers in Gulf Cooperation Council (GCC) countries. The United Arab Emirates (UAE) was the largest source of remittances, contributing nearly 18% of the total inflow, followed by the United States. The UAE, known for its favorable working conditions and zero income tax, is particularly attractive to Indian workers, most of whom belong to the working class and send a portion of their earnings back home.
Indians have made remarkable contributions in various sectors globally, including science, food, and business. Indian-origin executives head 24 Fortune 500 companies, according to The Times of India. In the U.S. alone, these executives employ over 2.7 million Americans and generate more than $1 trillion in revenue. Additionally, Indian-Americans have made a significant mark in the startup ecosystem, co-founding 72 of the 648 U.S. unicorns, which are valued at approximately $195 billion and provide jobs to more than 55,000 people. The presence of Indian-Americans is also strongly felt in small businesses across the U.S., with over 60% of all hotels being owned by Indians.
In terms of tax contributions, Indian-Americans play a vital role in supporting the U.S. economy, accounting for an estimated 5%-6% of all income taxes, which translates to approximately $250-$300 billion in revenue. The Indian diaspora has also been instrumental in driving research, innovation, and academic advancements in the U.S. The percentage of U.S. patents held by Indian-Americans increased from 2% in 1975 to nearly 10% in 2019.
One prominent example of an Indian leading a global company is Sundar Pichai, CEO of Alphabet Inc. (NASDAQ: GOOG). Pichai, originally from India, joined Google in 2004, where he spearheaded the development of Google Toolbar and later Google Chrome, which went on to become the world’s most widely used internet browser. By 2014, Pichai was leading product and engineering efforts for all of Google’s products and platforms, overseeing significant advancements in various applications. Under his leadership, Google has made substantial investments in emerging technologies such as machine learning, quantum computing, and artificial intelligence (AI). Google Cloud and YouTube have grown significantly, becoming leaders in their respective sectors. As of 2024, Alphabet Inc. (NASDAQ: GOOG) ranks as the third-largest cloud service provider, trailing only Microsoft and Amazon in market share.
Alphabet Inc. (NASDAQ: GOOG) recently released its earnings report for the second quarter of 2024, surpassing earnings-per-share (EPS) expectations by $0.05, reporting $1.89 per share. The company’s revenue was approximately $84.74 billion, exceeding projections by $445.49 million. This represented a 13.6% increase in revenue year-over-year, driven primarily by substantial growth in Google Cloud, which generated $10.35 billion in Q2, marking an almost 30% increase from the previous year and surpassing the $10 billion mark for the first time. Google’s Search platform continues to be its largest revenue source, bringing in approximately $48.51 billion, up by 13.8% year-over-year. AI has become a critical factor in Alphabet’s success, enhancing performance across Search, YouTube ads, Google Services, and other segments.
Sundar Pichai commented on the Q2 2024 earnings, highlighting key achievements: “In Q2, Cloud reached some major milestones. Quarterly revenues crossed the $10 billion mark for the first time, at the same time passing the $1 billion mark in quarterly operating profit. Year-to-date, our AI infrastructure, and generative AI solutions for Cloud customers have already generated billions in revenues and are being used by more than 2 million developers. As I spoke about last quarter, we are uniquely well-positioned for the AI opportunity ahead.”
He also discussed the importance of Alphabet’s AI advancements, stating, “Our AI product advances come from our long-standing foundation of research leadership, as well as our global network of infrastructure. In Q2, we announced our first data center and cloud region in Malaysia, and expansion projects in Iowa, Virginia, and Ohio. Our TPUs are a key bet here, too. Trillium is the sixth generation of our custom AI accelerator, and it’s our best performing and most energy-efficient TPU to date. It achieves a nearly 5 times increase in peak compute performance per chip and is 67% more energy-efficient compared to TPU v5e. And the latest Nvidia Blackwell platform will be coming to Google Cloud in early 2025.”
Considering Alphabet Inc. (NASDAQ: GOOG)’s overall performance and growth, the company is well-positioned to capitalize on AI development. It is projected to earn $7.65 per share in 2024, representing an increase of nearly 31% year-over-year. As of August 3, Alphabet’s stock is trading at a discount of approximately 14.77% compared to its 5-year average. The stock has an average price target of $205, indicating a potential upside of 22% from current levels, with 78% of 64 analysts giving it a ‘Buy’ rating.
With Sundar Pichai guiding Alphabet Inc. (NASDAQ: GOOG) to new heights, it is also essential to consider the broader context of the Indian diaspora. Below is a detailed look at the 20 countries with the highest Indian populations globally.
Using data from the Ministry of Foreign Affairs of India as of May 2024, here is a list of the top 20 countries with the largest Indian populations, ranked by the number of overseas Indians residing in each country:
1. United States: With a population of 5,409,062 Indians, the United States tops the list. Indian-Americans have made substantial contributions to various sectors, including technology, business, and academia. Notably, Sundar Pichai of Alphabet and Satya Nadella of Microsoft are among the most prominent Indian-origin leaders in the U.S.
2. United Arab Emirates: The UAE has a substantial Indian population of 3,568,848, drawn by the country’s favorable working conditions and zero income tax.
3. Malaysia: Malaysia has an Indian population of 2,914,127, with a significant number of Tamil Indians.
4. Canada: Canada is home to 2,875,954 Indians, with a large Punjabi community that has also made inroads into Canadian politics.
5. Saudi Arabia: Saudi Arabia hosts 2,463,509 Indians, attracted by job opportunities in the kingdom’s growing economy.
6. Myanmar: Myanmar has 2,002,660 Indians, with a mix of NRIs and individuals of Indian origin.
7. United Kingdom: The U.K. has 1,864,318 Indians, forming one of the largest Indian communities in Europe.
8. South Africa: With 1,700,000 Indians, South Africa has a significant Indian diaspora, primarily of South Indian origin.
9. Sri Lanka: Sri Lanka’s Indian population stands at 1,607,500, mostly of South Indian descent.
10. Kuwait: Kuwait has 995,528 Indians, encompassing a mix of unskilled, semi-skilled, and skilled workers.
11. Australia: Australia is home to 976,000 Indians, involved in various sectors of the economy.
12. Mauritius: Mauritius has an Indian population of 894,848, with deep historical ties dating back to the 1700s.
13. Qatar: Qatar has 836,784 Indians, primarily non-resident workers.
14. Nepal: Nepal’s Indian population is 700,004, benefiting from the open border between the two countries.
15. Oman: Oman has 686,635 Indians, comprising various levels of skilled workers.
16. Singapore: Singapore hosts 650,000 Indians, with a vibrant cultural presence, including the famous Little India district.
17. Trinidad & Tobago: Trinidad & Tobago has 549,545 Indians, who are mainly engaged in the food industry.
18. Bahrain: Bahrain’s Indian population is 327,807, with many employed in the construction sector.
19. Guyana: Guyana is home to 321,500 Indians, descendants of laborers brought to replace African workers on plantations.
20. Fiji: Fiji’s Indian population stands at 316,081, with many tracing their roots to laborers brought in for plantation work.
These countries reflect the global presence of the Indian diaspora, which continues to contribute significantly to the economies and cultures of their host countries.