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Government selects 8 new entities to build domestic AI models

The government has announced the selection of eight more organisations to build homegrown artificial intelligence models. These include Tech Mahindra, Fractal Analytics, Avatar AI, Zeinteiq Aitech Innovation, Genloop Intelligence, NeuroDX, Shodh AI, and the Indian Institute of Technology Bombay consortium’s BharatGen.

These companies will work on developing Large Language Models as well as sector-focused Small Language Models. Earlier, four startups were chosen for the same task, including Sarvam, Soket AI, Gan AI, and Gnani AI.

Union Electronics and Information Technology Minister Ashwini Vaishnaw said that the approach of choosing partners is evolving in line with global trends. “Our selection of partners for developing models is also changing…that’s adapting to the latest thought in the technical world that models which are focused on solving the problems of a particular sector will be more effective, have more utility, and be more in demand,” he told reporters.

The minister noted that while large models will remain a priority, smaller sector-specific models could give India an edge in areas such as education, healthcare, agriculture, materials science, manufacturing, and law.

He also explained that India aims to take a global leadership role in AI by sharing resources with other nations, much like it did with UPI. As part of the IndiaAI Mission, over 38,000 graphics processing units have been added to strengthen supercomputing capacity, and discussions are ongoing to share this compute power with countries of the global south.

Vaishnaw was speaking at an event to announce the upcoming IndiaAI Impact Summit. The global AI conference has previously been hosted in the United Kingdom, South Korea, and France. India will host the fourth edition in February 2026, with a special focus on AI safety, a topic he said had been largely absent from the recent summit in France.

Ahead of the summit, the government plans to introduce an AI governance framework that will guide technology companies in India and contribute to building a global consensus on minimum principles for AI governance.

The minister also said that more than 500 AI data labs will be established across tier two and tier three cities to boost skills in artificial intelligence, machine learning, and related fields. Around Rs 500 crore will be invested in this initiative.

Also read: Viksit Workforce for a Viksit Bharat

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