Artificial Intelligence and Digital Technologies as Drivers of MSME Growth: The Mediating Role of Digital Transformation Capability in India's MSME Sector

Micro, Small, and Medium Enterprises (MSMEs) are widely recognized as the backbone of India's economy due to their substantial contribution to employment generation, industrial production, exports, and regional development. In recent years, rapid advancements in digital technologies have fundamentally transformed the operational landscape of MSMEs. Technologies such as Artificial Intelligence (AI), Machine Learning (ML), Cloud Computing, Big Data Analytics, Blockchain, Internet of Things (IoT), and Digital Payment Systems have enabled enterprises to improve efficiency, reduce operational costs, enhance customer engagement, and strengthen competitiveness. The integration of computer science innovations into business operations has provided MSMEs with opportunities to overcome traditional limitations related to finance, market access, productivity, and information asymmetry.