India is undergoing a remarkable transformation in Artificial Intelligence, driven by the visionary leadership of PM Modi. For the first time in India’s history, the government is actively shaping an AI ecosystem where computing power, GPUs, and research opportunities are accessible at an affordable cost.

Unlike in the past, AI in India is no longer confined to a privileged few or dominated by global tech giants. Through forward-looking policies, the Modi government is empowering students, startups, and innovators with world-class AI infrastructure, fostering a truly level playing field. Initiatives such as the IndiaAI Mission and the establishment of Centres of Excellence for AI are strengthening the country’s AI ecosystem, paving the way for innovation and self-reliance in this critical sector.

India's AI leap is marked by a strong national effort to develop indigenous AI capabilities and democratise technology across the country, aligning closely with Prime Minister Narendra Modi's vision of making India a global AI powerhouse by 2047. 

The government launched the IndiaAI Mission in 2024, which embodies a comprehensive strategy to build robust AI infrastructure, including massive computing power with over 34,000 GPUs and facilities supporting foundational AI models tailored specifically to Indian needs.

Alongside infrastructure, the mission promotes open data access through initiatives like the IndiaAI Datasets Platform to empower start-ups, researchers, and innovators nationwide.

This initiative aims for "Making AI in India" and "Making AI Work for India" by fostering self-reliance and ensuring AI benefits various sectors such as governance, financial services, healthcare, agriculture, and more.

Efforts include setting up AI Centres of Excellence, skill-building programs under IndiaAI FutureSkills, start-up financing, and ethical AI standards. The government is also focused on preserving cultural and linguistic diversity in AI applications to make the technology truly Indian in character, overcoming challenges like the country's many languages and socio-economic diversity.

Additionally, India's Digital Public Infrastructure (DPI), which integrates AI with platforms like Aadhaar and UPI, is a unique model combining public funding and private sector innovation to scale AI solutions for governance and societal uses.

The overall strategy reflects an inclusive approach intended to prevent tech monopolies by giants and instead democratise AI access widely among citizens, institutions, and industry players. By developing indigenous foundational models—such as India's own large language models (LLMs)—and expanding local AI talent and compute capabilities, India is striving to produce an authentically Indian AI ecosystem that can compete globally while addressing local realities and priorities.

Despite structural and linguistic challenges, the government's coordinated initiatives, heavy investment (over ₹10,000 crore in IndiaAI Mission), and collaboration with academia and industry indicate a clear commitment toward crafting an AI future that is fundamentally Indian in innovation, ethics, and utility. Thus, India's AI leap is indeed aimed at being "Indian" in essence—both in terms of technological sovereignty and bringing AI benefits directly to its vast population and distinctive markets.

India is rapidly building a strong AI computing and semiconductor infrastructure to support its growing digital economy. With the approval of the IndiaAI Mission in 2024, the government allocated ₹10,300 crore over five years to strengthen AI capabilities. A key focus of this mission is the development of a high-end common computing facility equipped with 18,693 Graphics Processing Units (GPUs), making it one of the most extensive AI compute infrastructures globally. This capacity is nearly nine times that of the open-source AI model DeepSeek and about two-thirds of what ChatGPT operates on.

Here are the key developments:

Scaling AI Compute Infrastructure: The initial phase of the mission has already made 10,000 GPUs available, with the remaining units to be added soon. This will enable the creation of indigenous AI solutions tailored to Indian languages and contexts.

Opening Access to High-Performance Computing: India has also pioneered the launch of an open GPU marketplace, making high-performance computing accessible to start-ups, researchers, and students. Unlike many countries where AI infrastructure is controlled by large corporations, this initiative ensures that small players have an opportunity to innovate.

Robust GPU Supply Chain: The government has selected 10 companies to supply the GPUs, ensuring a robust and diversified supply chain.

Indigenous GPU Capabilities: To further strengthen domestic capabilities, India aims to develop its own GPU within the next three to five years, reducing reliance on imported technology.
Affordable Compute Access: A new common compute facility will soon be launched, allowing researchers and start-ups to access GPU power at a highly subsidised rate of ₹100 per hour, compared to the global cost of $2.5 to $3 per hour.

Strengthening Semiconductor Manufacturing: In parallel, India is advancing semiconductor manufacturing, with five semiconductor plants under construction. These developments will not only support AI innovation but also reinforce India’s position in the global electronics sector.

Key points supporting this view:

AICTE declared 2025 the "Year of AI" to integrate AI in over 14,000 colleges and 40 million students, symbolising an ecosystem-wide embrace.

IndiaAI Mission approved ₹10,300 crore funding for computing infrastructure, dataset platforms, and foundational AI models designed specifically for Indian contexts.

National compute capacity has expanded rapidly, with over 34,000 GPUs supporting indigenous AI model development and research.

Multiple start-ups and research groups are selected to build India's sovereign AI models tailored to governance and public service needs.

DPI's integration with AI aims for scalable, intelligent digital public services leveraging Aadhaar, UPI, and DigiLocker as a base.

The government explicitly promotes democratising technology access and preventing AI monopoly concentration, aligning with socio-economic inclusion goals.

Linguistic and structural challenges remain, but ongoing investments and policy frameworks seek to develop AI technologies that respect India's multilingual and socio-cultural diversity.

Summary

India's AI leap is deliberately structured to be both indigenous in development and inclusive in impact—positioning the country not just as a consumer but a creator and custodian of AI technologies aligned with Indian values and needs.

Based On Republic World Report