The Indian government has announced plans to develop a homegrown large language model (LLM) under the ambitious Rs 10,370 crore IndiaAI Mission. This initiative aims to create a world-class foundational AI model tailored to India’s diverse linguistic and cultural landscape, IT Minister Ashwini Vaishnaw revealed on Thursday.
India’s AI Push to Rival Global Leaders
Days after China’s AI lab introduced the cost-effective DeepSeek R1 model, India has stepped up its AI game by calling for proposals to build its own LLM. The foundational model is expected to be ready in the next four to eight months, according to the minister. However, he did not disclose the estimated cost or the companies currently engaged in discussions for the project.
“We will have a world-class foundational model in the next few months,” Vaishnaw stated, adding that the government has been collaborating with startups, researchers, and academia for the past 1.5 years to ensure the model is robust and unbiased.
Massive GPU Procurement for AI Development
To support this AI mission, the government has approved the procurement of 18,693 high-end Graphics Processing Units (GPUs), essential for developing machine learning models. Ten companies, including major players like Yotta (backed by the Hiranandani Group), Jio Platforms, Tata Communications, and E2E Networks, will supply these GPUs. Yotta alone has committed to providing 9,216 units, nearly half of the total approved GPUs.
Affordable Compute Power for Startups and Researchers
To facilitate AI development, the government is launching a common compute facility that will provide affordable access to high-end GPUs. The cost of using these GPUs has been set at Rs 150 per hour for high-end units and Rs 115.85 per hour for lower-end units. Moreover, the government will offer a 40% subsidy, effectively reducing the cost to approximately $1 per hour—significantly lower than the global rate of $2.5-$3 per hour.
Vaishnaw emphasized that nearly 10,000 GPUs are ready for installation, and the compute facility will be available for startups and researchers in the coming days.
AI Applications in Key Sectors
Apart from the foundational model, the IndiaAI Mission has selected 18 AI-driven applications for the first round of funding. These applications focus on critical sectors such as agriculture, climate change, and learning disabilities. The initiative aims to foster AI solutions that can address real-world problems while ensuring inclusivity and accessibility.
Future of AI in India
The development of an indigenous LLM marks a significant step in India’s AI journey, ensuring that its technological advancements align with local languages, cultural nuances, and ethical standards. With substantial government backing, India aims to position itself as a global AI powerhouse, competing with established players like OpenAI and emerging models like DeepSeek R1.
By investing in AI infrastructure, fostering research collaborations, and providing affordable access to computing power, India is laying a strong foundation for its AI ecosystem. The upcoming months will be crucial in determining the success of this ambitious project and its impact on India’s digital future.
