OpenAI in Talks with Reliance Jio to Expand ChatGPT in India; Plans to Cut Subscription Fees

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OpenAI in Talks with Reliance Jio to Expand ChatGPT in India; Plans to Cut Subscription Fees
24 Mar 2025
5 min read

News Synopsis

OpenAI and Meta are reportedly in discussions with Reliance Industries regarding a potential partnership, according to a report by The Information. The discussions primarily focus on Reliance Jio distributing OpenAI’s ChatGPT in India, a move that could significantly boost OpenAI’s presence in the Indian AI market.

With Reliance Jio’s massive user base and dominance in India's telecom and digital sectors, this collaboration could drive the widespread adoption of generative AI technologies across the country.

OpenAI Plans to Reduce ChatGPT Subscription Fees by 75-85%

In a bid to make ChatGPT more accessible to Indian users, OpenAI is reportedly considering a massive price reduction of 75-85% from its current $20 per month subscription model.

This price cut could make ChatGPT one of the most affordable AI-powered chatbots in India, allowing millions of individuals, students, and businesses to access cutting-edge generative AI technology.

A significant price reduction may also be OpenAI’s response to increasing competition from rivals such as Meta, Google, Anthropic, and China’s DeepSeek, which has been gaining traction by offering AI capabilities at a lower cost.

Reliance Jio’s Plan to Host OpenAI’s Models Locally

Reliance is reportedly considering hosting and running OpenAI’s models in India to ensure that Indian users’ data remains within the country. This aligns with India’s growing data localization policies and concerns about data sovereignty.

According to sources, Reliance Jio is exploring options to sell OpenAI’s AI models to enterprise customers via an API, providing businesses with access to OpenAI’s powerful AI tools and models.

Furthermore, discussions are also underway regarding the possibility of running OpenAI and Meta’s AI models on Reliance’s upcoming 3-gigawatt data center in Jamnagar, Gujarat.

Reliance Jio’s Ambitious Plan for the World’s Largest AI Data Center

Reliance has big plans for AI infrastructure in India, including a massive 3-gigawatt data center in Jamnagar. If completed as planned, this facility would be several times larger than the biggest data centers in the world today.

The scale of this data center is measured in megawatts (MW), which determines the total power available for servers, cooling systems, and infrastructure. More MW translates to greater computing power, essential for AI workloads and high-performance computing (HPC) applications.

To power this state-of-the-art facility, Mukesh Ambani’s Reliance is acquiring NVIDIA’s AI semiconductors, a move that further strengthens India’s AI ambitions. During NVIDIA CEO Jensen Huang’s visit to India in October 2023, Reliance and NVIDIA had announced a partnership to build AI infrastructure in the country.

The Growing AI Competition: OpenAI vs. Global Rivals

Since launching ChatGPT in late 2022, OpenAI has faced stiff competition from multiple players in the generative AI space.

  • Meta, Google, and Anthropic have all been working on their own AI models, vying for market dominance.

  • Elon Musk’s xAI is also pushing the boundaries with its AI innovations.

  • China’s DeepSeek has emerged as a strong competitor, offering similar AI capabilities at significantly lower costs.

To maintain its position as the market leader, OpenAI has launched GPT-4.5, introduced the O3 Mini reasoning model for free users, and rolled out the Deep Search AI agent to enhance search capabilities.

Conclusion: What This Means for AI in India

If the OpenAI-Reliance partnership materializes, it could lead to:
✔ Wider adoption of ChatGPT in India through Jio’s distribution channels.
✔ Cheaper AI access with OpenAI’s proposed subscription price cut.
✔ Local AI model hosting to ensure data security and compliance with Indian regulations.
✔ Stronger AI infrastructure in India with Reliance’s planned mega data center in Jamnagar.

With India rapidly emerging as a global AI powerhouse, partnerships like these could accelerate AI adoption and innovation across various sectors.

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