The Union Minister of Commerce and Industry, Piyush Goyal, has said that artificial intelligence (AI) is a powerful tool to combat poverty, provide essential products and services to remote regions, and reskill the workforce for future industry requirements. In terms of harnessing technology, India’s assets lie in its large and young populace, abundant data resources, and a culture that fosters entrepreneurship.
Goyal reiterated India’s dedication to embracing transformative technologies, with a specific focus on AI, and encouraged the use of AI to address real-world issues and enhance the quality of life. The Minister acknowledged India’s position as a leading player in the field of AI and highlighted the nation’s increasing prominence within the global startup community.
The Minister was speaking at a community-driven event that brought together startup founders and operators, investors, and ecosystem players. It provided a platform for discussions, networking, and inspiration among the startup community in the country.
He urged Indian startups to be ambitious, embrace innovation, and confront the forthcoming challenges. He emphasised that although India has ground to cover, the nation’s passion for AI remains steadfast. India’s prospects hinge on its dedication to innovation and upskilling, which will enable the country to harness AI for economic advancement.
India’s startup journey and its substantial expansion are impressive. It has registered more than 115,000 startups in just seven years, a significant increase from the approximately 450 startups seven years prior. The Minister attributed this expansion to the small capital provided to budding entrepreneurs and their capability to harness the wealth of data in India, turning innovative ideas into reality. He expressed optimism that India’s flourishing startup environment would ultimately become the world’s largest, contingent on the youth’s sustained faith in ambitious, audacious objectives.
In September, the government announced would set up a major graphics processing unit (GPU) cluster to support Indian AI startups struggling to train AI models. A GPU cluster is a network of computers with GPUs on each node to train neural networks for image and video processing.
As OpenGov Asia reported, the move will also attract investments in the field of chip design for AI applications and enhance domestic intellectual property. The GPU will be established as part of the India AI programme. The government will help startups and foreign enterprises interested in developing domestic intellectual property in chip design for AI applications through the IN₹ 11 billion (US$ 132 million) – IN₹ 12 billion (US$ 144 million) design-liked incentive systems.
The Minister of State for Electronics and Information Technology, Rajeev Chandrasekhar, pointed out that while current discussions on AI often focus on applications like ChatGPT, the primary goal of the project is to create useful AI applications for practical, real-world scenarios. The project will prioritise the development of AI-specific integrated circuits tailored for practical use in healthcare, governance, and education.
The Indian government aims to tap into the potential of AI, projecting it could contribute US$ 967 billion to the economy in the next decade. In its recently released IndiaAI report, it envisaged a Future Design IndiaAI scheme with a budget of IN 945 crores (US$ 113 million) and matching funding of IN 3,000 crores (US$ 360 million) for five years to foster AI startups. It said it will impact and consolidate 725 tech startups over that period to pave the road for an inclusive AI startup ecosystem.
