- Tech Mahindra and IIT-Bombay consortium among selected entities
- Focus on both large and sector-specific AI models
- AI governance framework to be launched soon
Government expands AI model development
The Indian government has chosen eight more organisations to develop domestic artificial intelligence models. The list includes Tech Mahindra, Fractal Analytics, Avatar AI, Zeinteiq Aitech Innovation, and the IIT-Bombay consortium’s BharatGen. Other selected firms are Genloop Intelligence, NeuroDX, and Shodh AI.
This follows an earlier round where four startups, including Sarvam and Gnani AI, were selected to work on similar projects. Together, these initiatives aim to strengthen India’s ability to produce both Large Language Models (LLMs) and sector-specific Small Language Models (SLMs).
Sector-specific focus for greater impact
Union Minister for Electronics and IT, Ashwini Vaishnaw, said India will continue to invest in large models but sees stronger opportunities in building smaller, sector-focused ones. Sectors such as education, healthcare, agriculture, materials science, manufacturing, and law are expected to benefit most.
Vaishnaw explained that models designed for specific industries often deliver more practical results and are likely to see stronger demand from businesses.
IndiaAI mission and GPU capacity
The government is also strengthening its AI infrastructure under the IndiaAI Mission. More than 38,000 graphics processing units (GPUs) have been onboarded to increase the country’s supercomputing power. The minister noted that India could share some of this capacity with countries in the global south, following an approach similar to how the Unified Payments Interface (UPI) was shared internationally.
Upcoming AI governance framework
Alongside model development, the government is preparing to launch an AI governance framework. This document will set guidelines for companies deploying AI solutions in India and aims to create alignment on global principles for AI safety and accountability.
Vaishnaw emphasised that international cooperation is essential. “AI is too important a technology, and the impact is so profound that we must all come together and look at a common governance framework,” he said.
Building skills and expanding access
To support talent development, the government will set up over 500 AI data labs across India, with a focus on tier-II and tier-III cities. Around Rs 500 crore has been allocated for this project, which will train professionals in AI, machine learning, and related fields.
Looking ahead
India will host the fourth edition of the global IndiaAI Impact Summit in February 2026. The summit will place particular emphasis on AI safety, an issue that has gained prominence as AI adoption expands worldwide.
