With ₹10,000 Cr Fund and 50,000 GPU Mission India Accelerates AI Growth
India is making a strong push to become a global leader in artificial intelligence (AI) by expanding its computing infrastructure and backing innovation through major public and private investments. As part of the IndiaAI Mission, the government is working to ensure widespread access to high-performance computing resources, especially graphics processing units (GPUs), which are essential for AI development.
Initially, the mission aimed to deploy 10,000 GPUs across research institutions, startups, and universities. However, this target has grown significantly. According to Abhishek Singh, Additional Secretary at MeitY, India has already secured commitments for 34,000 GPUs, with about 18,000 deployed and the rest arriving within a few months. An upcoming tender is expected to add 15,000–16,000 more, bringing the total to nearly 50,000 GPUs in the next six months.
Private players are also contributing, with companies like Reliance Industries planning large-scale data centres and firms like Infosys and leading academic institutions independently building GPU capabilities. While this progress is notable, Singh acknowledged that India still trails behind Western nations in computing infrastructure.
To address access issues, the government has introduced a centralised portal where startups and researchers can apply for GPU resources, ensuring a transparent and streamlined process that cuts down on delays.
AI investment is also gaining serious traction. At the Accel AI Summit 2025, Prashanth Prakash, Founding Partner of Accel India, shared that India now has over 250 AI startups, up from just 20–30 eighteen months ago. Accel alone has invested in more than 40 of these, showing growing investor confidence in India’s AI future.
The startup ecosystem is becoming more global, with cross-border teams and returning Indian-origin entrepreneurs contributing to AI innovation. Notably, Gan.ai, founded by a Stanford graduate who returned to India, exemplifies this reverse brain drain.
To further accelerate AI development, the government is supporting foundational model-building tailored to India’s unique languages and culture. A ₹10,000 crore fund-of-funds, including ₹2,000 crore under the IndiaAI Mission, is being managed with inputs from trusted venture capital firms to drive innovation in AI and deep tech.
With strong government support, rising private investment, and global talent returning, India is firmly positioning itself as a rising powerhouse in artificial intelligence.
Source: Business Standard
