The education sector in India is a key site of intervention by the state, and a policy priority for both central and state governments. Previous changes to the sector, such as increasing privatisation and the rising costs of education have already created disparities in access and equity in education between those who can and those who cannot afford it. Building AI on top of existing EdTech market infrastructure could further deepen the existing inequities already prevalent in the sector. This paper examines existing and emerging use cases of AI in the education sector in India, with the aim of identifying key challenges and risks associated with these use cases.