The advent of artificial intelligence is revolutionizing national security, offering new capabilities for monitoring, analyzing and responding to security threats. The integration of artificial intelligence in military security marks a pivotal shift in how nations approach their national security in a high-stakes region, particularly in South Asia. Being a high-power theatre for global rivalries such as India-Pakistan and India-China, the modernization of the military with AI-equipped systems has become a foremost priority for these states to gain an upper hand against their rivals. The technological shift induces a fresh wave of security dilemma into an already volatile region, as both states compete to enhance their defence capabilities while grappling with mutual distrust and new technologies. India’s accelerated response in incorporating artificial intelligence (AI) signals a transformative shift in its military strategy, this assertive behaviour could provoke Pakistan to respond with its AI-military innovations to maintain strategic parity in the evolving regional security landscape. India has significantly outpaced Pakistan in adopting AI-based defence systems into its military strategy. The rapid advancement is mostly driven by India’s structural competition with China, which has emerged as a global leader in AI technology. To maintain a strategic balance against China’s growing capabilities, India has prioritized the modernization of its military with artificial technology such as enhanced intelligence surveillance systems, cyber warfare capabilities, and autonomous systems. Moreover, since Prime Minister Narendra Modi came to power, his government has repeatedly emphasized military modernization as a key component in achieving India’s hegemonic ambitions. By leveraging AI, India aims to counter threats from China’s growing capabilities, solidify its regional power, and marginalize Pakistan by creating a substantial military and technological gap. Pakistan’s efforts in AI remain at a developing stage, constrained by limited resources and economic challenges. Being the fifth-largest economy in the world, India allocates substantial resources to AI-based military research through institutions like the Defense Research and Development Organizations’ Centre for AI and Robotics (CAIR), the Defense AI and Council (DAIC), and the Defense AI Project Agency (DARPA). Indian AI-military initiative Research and Development Centre (WARDEC) allows the Indian army to advance AI-supported combat training and war simulations. India has also acquired modern Unmanned Aerial Vehicles (UAVs) equipped with AI technology from Israel and on the local level from Lakshaya, Nishant and Rustom. AI-based land warfare innovations include Multi-Agent Robotic and Framework (MARF) and AI-driven drones, designed to assist the Indian army on the battlefield. In the Indian naval domain, AI integration has been extended to maritime domain awareness, perspective management and surveillance. Furthermore, India has adopted AI in its Early Warning, Predictive Maintenance and Control, and Information systems. However, these actions could pose a threat to other neighbouring states of India, such as Bangladesh, and could compel them to take reciprocal measures. In comparison, Pakistan’s military strategies are mainly influenced by its hostile relationship with India, historical experiences and counter-terrorism priorities. However, Pakistan’s current AI-driven applications are primarily focused on economic, educational and social development programs. For instance, the National Initiative for Artificial Intelligence and Security (NIAIS) and the Presidential Initiative for Artificial Intelligence and Computing, reflect Pakistan’s broader focus on employing artificial technology (AI) to address socio-economic challenges. The country’s military has made some progress in the AI sector but it is still far behind other states like India. In 2020, the Pakistan Air Force (PAF) launched their first Cognitive Electronic Warfare (CEW) program under its Centre for Artificial Intelligence and Computing (CENTAIC), adopting AI and machine learning (ML) for analytical and tactical decision-making. Additionally, the Pakistan Army’s Cyber Command, initiated in 2022 prioritizes AI-based research, reflecting its focus on AI-driven electronic warfare for strategic leverage. However, Pakistan’s current technological position in the adoption of AI-based defence technologies reveals a significant lag as compared to global and regional players. The challenge of prioritizing AI-based defence systems is further obstructed by Pakistan’s struggling economy, which limits the allocation of substantial resources for military modernization. With limited resources available, Pakistan faces obstacles in financing large-scale AI research and development (R&D) programs or acquiring AI-based defence technologies. Furthermore, the lack of data, AI experts, domestic infrastructure and inadequate AI curriculum taught in Pakistan intensifies the technological gap. Historically, Pakistan’s defence strategy has been rooted in maximizing conventional weapons and maintaining minimum credible deterrence to address security threats, particularly from India. This conventional focus has left little space for advancements in AI-based defence systems, creating challenges for Pakistan to counter India’s growing technological edge. This transformative technological shift could instil fear and suspicion in Pakistan, compelling it to respond by pursuing its AI-based defence innovations. Such developments risk triggering an AI-driven arms race and threaten deterrence stability between the nuclear-armed rivals, further exacerbating the tensions in an already volatile environment. For Pakistan to pursue rapid AI-driven military modernization, the military budget would need to be extended, leading to resource diversion from another crucial sector. The redirection of resources could worsen Pakistan’s already struggling economy, which faces significant obstacles such as slow economic growth, debt and inflation. Additionally, seeking assistance from key technological players in AI technology like China, could offer Pakistan access to advanced military technologies and expertise. However, such partnerships often come at a high cost, including, dependency concerns, geopolitical repercussions, and financial burdens. For a fragile economy like Pakistan, these costs could further worsen its financial stability, constraining its ability to balance economic needs with national security objectives. In conclusion, AI- integration in security strategies between India and Pakistan represents a stark difference in capabilities, resources and priorities. India’s growing economy and substantial investments in AI-based defence technologies, reflect its comprehensive long-term security strategy. By adopting AI-driven drones, UAVs and MARF, India aims to counter regional threats from China and Pakistan. In contrast, Pakistan’s efforts in AI remain at a developing stage, constrained by limited resources and economic challenges. Initiatives like CENTAIC reflect Pakistan’s AI potential, but these steps are yet to match India’s scale. The shift towards AI adoption in military security between the two states highlights the potential of an arms race in the region. To maintain strategic stability, both countries must prioritize responsible AI development, transparency, and bilateral dialogues to mitigate the risks associated with the use of artificial intelligence in the defence sector. The writer is a student of International Relations.