Policy Update
Shubhika Rathi
Introduction to Artificial Intelligence
Artificial intelligence, or AI, is a technology that enables computers and machines to simulate human intelligence and problem-solving capabilities. Artificial intelligence has gone through many cycles of hype, but even to skeptics, the release of ChatGPT seems to mark a turning point. Today, generative AI can learn and synthesize not just human language but other data types including images, video, software code, and even molecular structures. Applications for AI are growing every day. AI will be the kinetic enabler of India’s digital economy and make Governance smarter and more data-led.
According to India AI Expert Group Report (2023), AI is expected to add USD 967 Bn to the Indian economy by 2035 and USD 450–500 billion to India’s GDP by 2025, accounting for 10% of the country’s USD 5 trillion GDP target. AI has become a top priority on policy agendas worldwide, as it has the power to foster innovation, generate employment opportunities, and contribute to the growth of the country.
Over the past several years, the Government of India has taken concrete steps to encourage the adoption of AI in a responsible manner and build public trust in its use, placing the idea of ‘AI for All’ at its very core. Favorable policies and continuous interventions strive to harness the potential of AI for social development and inclusive growth, in line with our Hon’ble Prime Minister’s inclusive development philosophy of ‘Sabka Saath, Sabka Vikas, Sabka Vishwaas, Sabka Prayas’.
India’s Early Moves in AI
Globally, AI is seen as a key driver of the Fourth Industrial Revolution, with its applications ranging from healthcare and education to finance, manufacturing, and beyond. Countries are investing heavily in AI research and development to maintain competitive advantages. India has an early mover advantage when it comes to Artificial Intelligence. The Niti Aayog published the National Strategy for Artificial Intelligence in June 2018. India’s strategy focused on “AI for All” and set out healthcare, education, agriculture, smart cities and smart mobility as the five priority sectors. It then recommended some clear action points for the government, some of which are a part of the IndiaAI Mission, which the government followed up with in March 2024.
A recent report released by NetApp, a leading intelligent data infrastructure company, has shed light on the stark division between countries at the forefront and those lagging behind in the adoption of artificial intelligence (AI). According to the findings, nations such as India, Singapore, the United Kingdom, and the United States are leading the charge in AI adoption. Endorsing To India AI Mission, Open AI’s VP stated that the company is keeping India in mind in important decisions that are being made. Mohit Sewak, head of AI research and developer relations at in-demand chipmaker Nvidia has stated that the company has “opened up developer relations in India” this year—and is in process of ramping up this support.
The IndiaAI Mission: A Comprehensive Approach to AI Innovation
India’s early investments in AI laid the groundwork for more ambitious initiatives in the field, culminating in the launch of the IndiaAI Mission. The mission was approved by the Union Cabinet on March 7, 2024. The mission has an outlay of Rs 10,372 crore for the next five years. A new allocation of Rs 551.75 crore in the Union Budget 24 -25, specifically for the IndiaAI Mission highlights the government’s dedication to advancing AI research and applications.
The IndiaAI Mission aims to build a comprehensive ecosystem that fosters AI innovation by democratizing computing access, enhancing data quality, developing indigenous AI capabilities, attracting top AI talent, enabling industry collaboration, providing startup risk capital, ensuring socially impactful AI projects, and promoting ethical AI. This mission drives responsible and inclusive growth of India’s AI ecosystem through following seven pillars.
- IndiaAI Compute Capacity: This pillar focuses on creating a scalable AI computing ecosystem with over 10,000 GPUs through public-private partnerships to meet the demands of India’s growing AI startups and research community. An AI marketplace will offer AI as a service and pre- trained models, serving as a central hub for essential AI resources.
- IndiaAI Innovation Centre: This center is dedicated to developing and deploying indigenous Large Multimodal Models (LMMs) and domain-specific foundational models in critical sectors.
- IndiaAI Datasets Platform: This platform aims to streamline access to high-quality non-personal datasets for AI innovation. A unified data platform will provide seamless access to these datasets for Indian startups and researchers
- IndiaAI Application Development Initiative: This initiative promotes AI applications in critical sectors by addressing problem statements from Central Ministries, State Departments, and other institutions. It focuses on developing, scaling, and promoting the adoption of impactful AI solutions with the potential for large-scale socio-economic transformation.
- IndiaAI FutureSkills: This pillar aims to reduce barriers to entry into AI programs by increasing AI courses at the undergraduate, master’s, and Ph.D. levels. Data and AI Labs will be established in Tier 2 and Tier 3 cities to offer foundational courses.
- IndiaAI Startup Financing: This pillar supports and accelerates deep-tech AI startups by providing streamlined access to funding for innovative AI projects.
- Safe & Trusted AI: This pillar focuses on ensuring the responsible development, deployment, and adoption of AI by implementing Responsible AI projects, developing indigenous tools and frameworks, self-assessment checklists for innovators, and other guidelines and governance frameworks.
Challenges and Critics
This mission seeks to position India as a leading AI research, development, and deployment nation. The focus on AI is part of a larger vision to harness technology’s transformative potential to drive economic growth, improve public services, and address critical societal challenges. The central pillar of this mission, with nearly half the sum (Rs 4,568 crores) earmarked for it, is to build cutting edge compute capacity for the country.
The objective is to scale up compute capacity for local demand, and, importantly, bridge the “AI divide” by offering inexpensive compute to the prioritized sectors. The Ministry of Electronics and Information Technology(MeitY) declares that “a cornerstone of this effort is the India AI Compute Capacity, envisioned to erect a cutting-edge, scalable AI computing infrastructure by deploying over 10,000 Graphics Processing Units (GPUs) through strategic public-private collaborations”.
At first glance, the number itself seems very low. To put it in context, a private company, Meta, will have 60 times more GPUs than this, and even small AI startups globally have more GPUs. Another issue which India faces with reference to capacity building is that indigenous AI models to be used in offering support and assistance in neonatal care are not good enough at the moment. The urgency to build AI capabilities stem from current geopolitical concerns, too. Export control regulations from a particular nation could prevent India from accessing crucial computing resources. We notice limited development of India’s indigenous capacities in both computing and software as a hurdle towards building services for people.
The Way Forward
India’s AI mission is epitomized by the success of the Global IndiaAI Summit. With clear and consistent regulatory policies and a collaborative ecosystem involving startups, established companies, research institutions, and government bodies, India is poised to harness the transformative power of AI to drive economic growth, societal progress, and global partnership in the AI domain. AI will have a force multiplier effect on the economy, akin to the transformative impacts of the internet and smartphones.
Combined with cheaper smartphones and faster 5G connectivity, AI can make technology and education accessible to the masses, even reaching the remotest villages in India. This widespread accessibility can drive significant socio-economic advancements. India faces unique challenges such as the language barrier and digital divide. Companies building AI solutions for India will have to solve these challenges and create models based on intermittent data with reasonable levels of accuracy.
Eventually, however, these models can be redeployed globally with even higher accuracy levels, turning the challenge into a bigger opportunity. Furthermore, India’s young workforce puts the country at an advantage in becoming a global leader in AI. With the right investments in education and infrastructure, this demographic advantage can be leveraged to position India at the forefront of the AI revolution.
References
- Bindra, J. (2024, July 20). IndiaAI Mission: How the government can realise its goal of AI without a digital divide. The Indian Express. Retrieved August 6, 2024, from https://indianexpress.com/article/opinion/columns/indiaai-mission-government-goal-ai-digital-divide-9465427/
- Das, S. (2024, July 3). Amid push for Indian AI, myriad challenges pose concerns. Mint. Retrieved August 6, 2024, from https://www.livemint.com/industry/amid-push-for-indian-ai-myriad-challenges-pose-concerns-11720012574665.html
- Indiaai & Dr Nivash Jeevanandam. (2024, July 24). Union budget 2024-25 allocates over 550 crores to the IndiaAI mission. /union-budget-2024-25-allocates-over-550-crores-to-the-indiaai-mission. https://indiaai.gov.in/article/union-budget-2024-25-allocates-over-550-crores-to-the-indiaai-mission
- INDIAai Portal. (n.d.). INDIAai Mission. INDIAai | Pillars. https://indiaai.gov.in/
- Ministry of Electronics and Information Technology. (2023, October). India AI 2023 [IndiaAI-Expert-Group-Report-First-Edition.]. https://www.meity.gov.in/writereaddata/files/IndiaAI-Expert-Group-Report-First-Edition.pdf
- Mukhopadhyay, S. (2024, April 29). India’s AI adoption outpaces global trends, reports NetApp. Mint. Retrieved August 6, 2024, from https://www.livemint.com/ai/artificial-intelligence/indias-ai-adoption-outpaces-global-trends-reports-netapp-11714393393772.html
- Press Information Bureau. (2024, March 7). Cabinet Approves Over Rs 10,300 Crore for IndiaAI Mission, will Empower AI Startups and Expand Compute Infrastructure Access. PIB. https://pib.gov.in/PressReleasePage.aspx?PRID=2012375
- Singh, P. (2024, July 5). India’s AI Mission to Pave the Way for Advanced Future. Dataquest. Retrieved August 6, 2024, from https://www.dqindia.com/news/indias-ai-mission-to-pave-the-way-for-advanced-future-4795226
About the Author– The article is written by Shubhika Rathi, Research Intern at IMPRI, pursuing Bachelor’s in Economics at Symbiosis School of Economics.
Acknowledgement– The author would like to express sincere gratitude to Dr. Arjun Kumar, Ms. Aasthabha Jadeja, Mr. Ishan and Ms. Shrishtishruti Roy for their invaluable contributions to this article.
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