Indian Government Greenlights IndiaAI Mission with INR 10,372 Cr Budget Allocation

A portion of the expenditure, according to the government, would also be used to support funding for nascent AI companies and promote innovation in the field.

"With this financial investment, the IndiaAI Startup Financing mechanism will be strengthened, making it easier for aspiring AI firms to obtain finance and accelerating their transition from product development to commercialization.

A government statement added, "The proposal also includes funding provisions for industry-led AI projects aimed at fostering social impact, propelling innovation, and entrepreneurship."

Piyush Goyal, the minister of commerce, told the media that the money would also be used to establish an AI marketplace in India, which will unite academic institutions, startups, and other players.

According to Goyal, a single, comprehensive data platform would be created to assist startups in gaining access to user non-personal data.

Rajeev Chandrasekhar, the Minister of state (MoS) for Electronics and Information Technology, stated that the expenditure will help the people of India, build a strong tech ecosystem in the states, and boost the nation's economy.

The Center states that the funding will go toward projects including India AI FutureSkills, India AI Startup Financing, India AI Compute Capacity, India AI Innovation Center (IAIC), India AI Datasets Platform, India AI Application Development Initiative, and Safe & Trusted AI.

AI is going to be the Digital economy of India's dynamic enabler. The PM's approval of more than INR 10,000 Cr for the India AI initiative, which will ignite the country's AI ecosystem and establish it as a major player influencing AI in both India and the rest of the globe, is much appreciated, Chandrasekhar continued.

The following are the cornerstones of the IndiaAI Mission:

IndiaAI Computing Power: It plans to use the PPP model to deploy over 10,000 Graphics Processing Units (GPUs) in order to create a state-of-the-art, scalable AI computing infrastructure.

The IndiaAI Innovation Centre (IAIC): aims to establish itself as a preeminent academic establishment that can attract and maintain outstanding researchers, as well as construct and implement native large multimodal models (LMMs) and domain-specific models.

The independent business division (IBD) of IndiaAI will build the IndiaAI information Platform, which aims to improve the quality, usefulness, and accessibility of public sector information.

IndiaAI FutureSkills: This initiative aims to create AI Labs to provide introductory-level courses in the field and increase the availability of graduate and post-graduate AI programs.

The announcement comes five months after Chandrasekhar made a hint in November 2023 about the debut of the IndiaAI initiative, which aims to support Indian entrepreneurs using AI to tackle regional issues.

The rapidly expanding AI industry in the nation has been quite active lately. The Ministry of electronics and Information Technology (MeitY) published a directive last week requiring social media platforms and other large businesses—aside from startups and certain industries—to obtain prior consent before implementing AI models.

Additionally, it mandated that platforms identify AI models that are still under trial and make sure that no illegal content is placed on them.