The race for global leadership in AI is in full force. As China and the US emerge as the ‘AI Superpowers’ in the world, the world grapples with the questions around AI governance, ethics, regulation, and safety. Some are calling this an ‘AI Arms Race.’ Most of the applications of these AI systems are in large language models for commercial use or military applications. Countries like Germany, Japan, France, Singapore, and India are now participating in this race and are not mere spectators.
The Government of India’s Ministry of Electronics and Information Technology (MeitY) has launched the IndiaAI Mission, an umbrella program for the use and development of AI technology. This MeitY initiative lays the groundwork for supporting an array of AI goals for the country. The government has allocated INR 10,300 crore for this endeavour. This mission includes pivotal initiatives like the IndiaAI Compute Capacity, IndiaAI Innovation Centre (IAIC), IndiaAI Datasets Platform, IndiaAI Application Development Initiative, IndiaAI FutureSkills, IndiaAI Startup Financing, and Safe & Trusted AI.
There are several challenges and opportunities that India will have to navigate and capitalize on to become a significant player in the global AI race. The various components of India’s ‘AI Stack’ will have to work well in tandem to create a robust ecosystem that yields globally competitive results. The IndiaAI mission focuses on building large language models in vernacular languages and developing compute infrastructure. There must be more focus on developing good datasets and research as well.
Resource Allocation and Infrastructure Development
The government is focusing on building the elementary foundation for AI competitiveness. This includes the procurement of AI chips and compute capacity, about 10,000 graphics processing units (GPUs), to support India’s start-ups, researchers, and academics. These GPUs have been strategically distributed, with 70% being high-end newer models and the remaining 30% comprising lower-end older-generation models. This approach ensures that a robust ecosystem is built, which includes everything from cutting-edge research to more routine applications. A major player in this initiative is Yotta Data Services, which holds the largest share of 9,216 GPUs, including 8,192 Nvidia H100s. Other significant contributors include Amazon AWS's managed service providers, Jio Platforms, and CtrlS Datacenters.
Policy Implications: Charting a Course for Tech Sovereignty and Self-reliance
With this government initiative, there is a concerted effort to develop indigenous AI models and reduce tech dependence on foreign players. There is a push to develop local Large Language Models and domain-specific foundational models, creating AI solutions that are truly Indian in nature and application. Many advanced chip manufacturing takes place in Taiwan, which has a looming China threat. India’s focus on chip procurement and GPUs speaks to a larger agenda of self-reliance and sovereignty, keeping in mind the geopolitical calculus. This is an important thing to focus on, however, it must not come at the cost of developing the technological ‘know-how’ and research.
Developing AI capabilities at home also has national security implications. When it comes to defence systems, control over AI infrastructure and data becomes extremely important. The IndiaAI Mission will focus on safe and trusted AI, including developing frameworks that fit the Indian context. It has to be ensured that AI applications align with India's security interests and can be confidently deployed in sensitive defence applications.
The big problem here to solve here is the ‘data problem.’ There must be a focus on developing strategies to mitigate the data problem that disadvantages the Indian AI ecosystem. Some data problems are unique to India, such as generating data in local languages. While other problems are the ones that appear in every AI ecosystem development lifecycle namely generating publicly available data and licensed data. India must strengthen its ‘Digital Public Infrastructure’ and data commons across sectors and domains.
India has proposed setting up the India Data Management Office to serve as India’s data regulator as part of its draft National Data Governance Framework Policy. The MeitY IndiaAI expert working group report also talked about operationalizing the India Datasets Platform and suggested the establishment of data management units within each ministry.
Economic Impact: Growth and Innovation
The government’s focus on technology and industry has far-reaching economic implications. There is a push to develop the AI startup ecosystem in the country. The IndiaAI mission heavily focuses on inviting ideas and projects under its ambit. The investments will strengthen the IndiaAI startup financing system, making it easier for nascent AI businesses to obtain capital and accelerate their development from product to market. Funding provisions for industry-led AI initiatives that promote social impact and stimulate innovation and entrepreneurship are also included in the plan. The government press release states, "The overarching aim of this financial outlay is to ensure a structured implementation of the IndiaAI Mission through a public-private partnership model aimed at nurturing India’s AI innovation ecosystem.”
The government also wants to establish India as a hub for sustainable AI innovation and attract top AI talent from across the globe. One crucial aspect that needs to be worked on here is fostering talent and skill development. India has a unique advantage, that is, top-tier talent in STEM fields. Yet we suffer from a severe talent gap that needs to be addressed on a priority basis. Even though India is making strides in nurturing AI talents, out-migration of tech talent is still a reality. Once the hardware manufacturing “goods-side” of economics transitions to service delivery in the field of AI globally, India will need to be ready to deploy its talent. Several structural and policy interfaces, like the New Education Policy and industry-academic partnership frameworks, allow India to capitalize on this opportunity.
India’s talent strategy must be robust and long-term, focusing heavily on multi-stakeholder engagement. The government has a pivotal role here by creating industry-academia interfaces and enabling tech hubs and innovation parks.
India's Position in the Global AI Race
India’s foreign policy and geopolitical standpoint have been one of global cooperation. This must not change when it comes to AI. Even though this has been dubbed as the “AI Arms Race,” India should encourage worldwide collaboration on AI R&D through collaboration with other countries in order to strengthen its own capabilities. India must prioritise more significant open-source AI development, work with the US, Europe, Australia, Japan, and other friendly countries to prevent the unethical use of AI and contribute to the formation of a global consensus on the boundaries for AI development.
The IndiaAI Mission will have far-reaching implications for India’s diplomatic and economic relations. The unique proposition that India comes with is its ethos of inclusivity, ethics, regulation, and safety from the get-go. We should keep up the efforts to create a powerful voice for the Global South in AI. The IndiaAI Mission marks a pivotal moment in India's technological journey. Its success could not only elevate India's status as a tech leader but also serve as a model for other nations looking to harness the power of AI for national development and global competitiveness. In conclusion, the IndiaAI Mission seeks to strengthen India's position as a global leader in AI, promote technological independence, guarantee the ethical and responsible application of AI, and democratise the advantages of AI at all societal levels.
References
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