Thursday, 30, January 2025: Union IT minister Ashwini Vaishnaw at the Utkarsh Odisha Conclave disclosed that India is planning to develop its own generative AI model. This initiative will leverage the 18,693 GPUs secured by the India AI Compute Facility to build a large language model (LLM).

This initiative will be a significant step for India in the field of AI. It will enable the country to develop AI models tailored to its specific needs which can be leveraged to address various emerging challenges. Additionally, having its own generative AI model will minimise India’s reliance on foreign AI models.

Vaishnaw announced, “I am very happy to say that, against 10,000 GPUs, we have actually empanelled 18,693 GPUs,”. This includes 12,896 Nvidia H100s and 1,480 Nvidia H200s, some of the most powerful GPUs available. “Overall, the net high-end GPUs we have is 15,000,” he added, noting that even a model like DeepSeek was trained on just 2,000 GPUs. Roughly 10,000 of these GPUs are available today.

“The second big mission of the IndiaAI mission was to develop an AI model,”. “We have now created the framework which will be launched today. We are calling for proposals to develop our own foundational models, where the Indian context, the Indian languages, and the culture of our country are considered, where the biases can be removed. Where the datasets, for our country, for our citizens – that process will start today.”- he added.

The development of the generative AI model is expected to be completed in four to eight months. Once it is completed, not only it is going to be a valuable tool for researchers, startups, and several institutions in India but also help to promote the development of AI in India.

Source: https://economictimes.indiatimes.com/tech/artificial-intelligence/ashwini-vaishnaw-says-india-to-develop-own-generative-ai-model-report/articleshow/117724681.cms?from=mdr

Zerodha CEO Nithin Kamath has expressed concerns about India’s approach to artificial intelligence (AI) innovation. He believes that the country’s focus on quick fixes and a “Jugaad” mentality is hindering its progress. 

Kamath pointed to China’s DeepSeek AI breakthrough as proof of the value of long-term AI research investment. He argued that India lacks this kind of support for researchers, causing many talented individuals to leave the country. He suggests this “Jugaad” approach, while sometimes effective in the short term, ultimately prevents India from competing with countries like China in the long run in the AI race.

He compares India and China, pointing out their similar economic starting points in the mid-20th century.  He then emphasises how China’s reforms led to much greater economic and technological advancement.

According to Kamath, DeepSeek, a Chinese AI model developed for a mere $6 million, exemplifies India’s missed opportunity. China’s DeepSeek has achieved remarkable success in the AI field, surpassing OpenAI’s models, dominating the iOS App Store, and outshining Meta in open-source AI.

Kamath said “Say what you will about the differences in our worldviews and economic models, but their scientific and technological progress is undeniable across disciplines—DeepSeek is just the latest example.

“I think the problem that has always plagued India is short-termism. Problems are typically addressed through a patchwork or the Jugaad mentality. This is true when it comes to business, politics, regulatory approaches, etc. Many problems that require focused long-term thinking instead get band-aid fixes,” he stated.

He said “This is not something that will show results instantly. In the case of China, it was 2 decades at the bare minimum focusing just on research. If we start focusing on building our research and scientific capabilities, we will hopefully see results in 5 to 10 years,”.

Nithin Kamath warns that India cannot afford to be mediocre in AI. Being mediocre won’t be an option,” he says, emphasising the potential long-term consequences for India’s global standing. His comments highlight the urgent need for systemic change in India’s approach to AI innovation and research.

Source: https://economictimes.indiatimes.com/magazines/panache/why-is-india-behind-china-in-ai-race-zerodhas-nithin-kamath-blames-jugaad-mentality-for-it-amid-deepseek-buzz/articleshow/117695052.cms?from=mdr

The World Economic Forum’s Annual Meeting 2025 is currently being held in Davos, Switzerland, from January 20th to 24th, 2025. This meeting brings together a diverse group of leaders including business executives, heads of state and government,  civil society representatives, and international organisations to address critical global issues.

The theme for Davos 2025 was “Collaboration for the Intelligent Age,” emphasising the need for cooperation and innovation to navigate the ever-evolving technological landscape.

Aakrit Vaish, Founder of Haptik and Advisor to the IndiaAI Mission believes India is at the forefront of an AI (artificial intelligence) revolution, positioning itself as the global leader in translating AI research into real-world application.

Highlighting the progress of AI in India, Vaish said “India is at that classic point where we need a spark to kickstart the ecosystem. We are just about putting the infrastructure, compute capacity, and deep-tech ecosystem in place. Ultimately, India will be the AI use case capital of the world.”

Vaish believes unique challenges, a vast population, and diverse problems to solve across different sectors such as healthcare, agriculture, and governance, make India an ideal ground for testing AI solutions, meaning great potential for AI-driven innovation.

The country has a thriving tech ecosystem with numerous startups and established firms actively implementing AI solutions. Additionally, the Indian government is actively taking initiatives to promote AI development through various policies to attract investment and foster innovation.

Source: https://www.cnbctv18.com/technology/davos-2025-india-poised-to-become-ai-use-case-capital-of-world-haptik-19543575.htm

The ECI (Election Commission of India) has issued an advisory mandating the mandatory labelling of all AI (artificial intelligence)-generated content utilised in election campaigns. This advisory aims to improve transparency, combat the distribution of misinformation, and ensure a fair electoral process, realising the growing influence of AI in elections.

As AI has the potential for both innovation and misuse, the ECI has advised political stakeholders to label all synthetic and AI-generated campaign content prominently. The evolution of sophisticated AI tools in political campaigns necessitates responsible use of this technology to prevent the spread of misinformation and manipulation.

Key features of ECI’s advisory include:

• Clear Labeling for AI Content: All AI-generated or manipulated content (images, videos, audio) must be clearly labelled (e.g., “AI-Generated,” “Digitally Enhanced”). This allows voters to identify AI-created content easily.
• Transparency in Advertising: All political advertisements including social media must include clear disclaimers when using synthetic content. This ensures informed voter engagement and maintains a fair electoral process.

Ethical AI Usage: Empower voters, not mislead them. Campaigns should find the right balance between using AI for good and making sure it’s fair to everyone.

This directive highlights India’s commitment to ethical AI deployment in the electoral process, aligning with global best practices to safeguard voter trust and promote informed decision-making.

Source: https://indiaai.gov.in/article/election-commission-of-india-embraces-ai-ethics-in-campaigning-advisory-on-labelling-ai-generated-content

The 2025 Mahakumbh, is a massive religious gathering in Uttar Pradesh, Prayagraj, India. The Mahakumbh Mela, which began on January 13th and concludes on February 26th, is expected to draw over 450 million devotees to take part in bathing rituals and festivities. To manage this huge crowd and locate missing persons, authorities are implementing a system that combines AI (artificial intelligence) and facial recognition.

This comprehensive system involves several AI-enabled cameras across the event site. These cameras will capture pictures of every individual in the crowd. AI algorithms will analyse captured images in real-time to identify persons.

If some person goes missing on the event site, AI will scan the live camera feeds to locate him/her rapidly. This will significantly accelerate the search process.

The senior police officer explained, “Once a relative reports a missing person at any of the designated counters, AI tools will be used to generate digital images of the missing individuals, which will then be used to scan the crowds via thousands of cameras”.

This AI-enabled system is crucial in densely populated Mahakumbh as traditional search methods are not only time-consuming but also very challenging.

Furthermore, AI systems will also monitor the crowd’s density and movement, which can help prevent stampedes and other risks. By monitoring the crowd patterns, authorities can identify potential hurdles and take measures to keep pilgrims safe.

AI and facial recognition implementation at Mahakumbh showcase a significant advancement in crowd management and tracking missing persons.

By leveraging these advanced tools, authorities will provide a safer and more efficient experience to millions of pilgrims at Mahakumbh.

Source:

https://www.hindustantimes.com/india-news/facial-recognition-ai-how-authorities-are-managing-crowds-at-mahakumbh-101736941836349.html

Boston Consulting Group’s latest AI Radar report stated that ‘with 80% of Indian firms prioritising AI (artificial intelligence) exceeding the global average of 75%, the country is emerging as a frontrunner in the adoption of this technology.

The study revealed significant AI investments in India, positioning the country among the top global investors in the technology. 75% of companies are allocating up to $25 million and 16% are planning to spend $26 to $50 million by 2025.

India has surpassed several developed countries in planned AI investments for 2025. While AI investment in Japan is 53%, in Singapore 63%, and in the United States 59%, India surpassed its global peers with 75%.

Despite, significant investments, India is facing a critical skills gap. Only 26% of companies have trained their workforce on GenAI/AI tools lagging behind Japan (38%) and Singapore (44%). As AI investment rises in 2025, addressing the skills shortage requires urgent attention.

Nipun Kalra, MD & Partner, BCG India, and India Leader said “As learning and development agendas evolve, companies are actively working to upskill their employees on scaling use cases and enabling thinking functions to conceptualise new applications,”.

While concerns about AI job losses are prevalent, only 7% of global executives expect job cuts due to AI automation.

Kalra said, “Most CXOs are focused on augmenting existing workforces rather than replacement. The conversation is centred around making functions 30-50% more productive and enabling employees to do more with the same resources”.

While this report has highlighted India’s significant investments and strong strategic focus on AI, addressing the skills gap is critical for the country to fully capitalise on AI’s potential.

Source: https://www.financialexpress.com/life/technology-80-indian-firms-mark-ai-as-core-priority-surpassing-global-average-but-lag-in-workforce-readiness-bcg-study-3716373/

A recent EY (Ernst & Young) report forecasts that AI (artificial intelligence) will impact 38 million jobs in India by 2030. This will contribute to a 2.61% productivity gain in the country’s economy. This report emphasises that the adoption of generative AI in the unorganised sector has the potential to boost additional productivity by 2.82%.

This EY report indicates that 24% of tasks are automable across the industries. Additionally, 42% productivity boost, freeing up 8-10 hours per week for workers. This will lead to significant productivity gains in the service sector due to higher labour share.

EY’s analysis of over 10,000 tasks across industries indicates that software development and call centre management will have substantial productivity gains of 60% and 80% respectively.

AI adoption is highest in content development and distribution by 45%, customer service by 44% and sales/marketing by 41%. Whereas, IT/ITeS can expect a 19% productivity gain, healthcare by 13%, banking/insurance by 8-9%, and pharma and auto by 2% due to lower labour intensity.

Rajiv Memani, Chairman and CEO, of EY India, says, “GenAI is transforming India’s economic landscape by unlocking unprecedented opportunities across sectors. This revolution will fundamentally reshape jobs, driving productivity and innovation. Building talent pipelines and prioritising upskilling must be at the forefront of every organisation. By fostering public-private collaborations and investing in talent development, India can also become a global hub for AI skilled talent.”

While the potential of AI is vast, only 15% of enterprises have implemented GenAI and 11% are still working on deploying it. Furthermore, only 3% of enterprises in India are ready for AI deployments and 23% lack data readiness.

Source: https://www.business-standard.com/technology/tech-news/ai-set-to-reshape-38-mn-jobs-in-india-by-2030-boost-productivity-ey-125011400955_1.html