More than 50 companies have signed up for the race to develop India-specific AI (artificial intelligence) foundation models, including large language models (LLM) and small language models (SMLs), according to a report published by Business Standard.
Of these, around a dozen firms have shown interest in developing the foundation model and LLMs, while others have proposed sector-specific SLMs, the report said. However, bidders must quality the parameters for building their own AI models like scalability, feasibility, and practicality.
Besides these factors, the proposed AI models must also address cross-sectoral challenges and will be funded based on their problem-solving approach, said Abhishek Singh, Additional Secretary, Ministry of Electronics & Information Technology.
The government has asked interested participants to submit a PoC (proof of concept) for the ideas of LLM-SLM. After this, the technical evaluation committee will go through the submissions and ask the shortlisted companies to start working on the same, the BS report added.
Bengaluru to Develop India’s 1st AI Model
Bengaluru is set to develop India’s first foundational artificial intelligence model, said Union Minister Rajnath Singh at the inaugural session of Invest Karnataka 2025. He emphasised Bengaluru’s long standing reputation as India’s technology hub, highlighting its leadership in pioneering industries.
“Just as the city of India laid its software and technology foundation, I am confident that in the near future, Bengaluru will give India its first foundational AI model,” he said, underlining the government’s focus on AI as a catalyst for economic and industrial growth.
“As India, Bengaluru not only creates the future of India but also saves it, driving progress at national and global scale,” he noted. Reassuring investors about India’s evolving business environment, Singh stressed the government’s efforts to eliminate bureaucratic obstacles.
IndiaAI Mission
India’s AI mission, approved by the Union Cabinet in March 2024, is gaining momentum as the country prepares to launch its foundational model. The government is investing significant resources and funds to develop the best solutions. Numerous start-ups and entrepreneurs are actively participating in the process, submitting proposals for a safe and efficient AI model.
Meity has been working with LLM and SLM experts for the past 18 month to develop a framework for India’s AI foundation AI model. The government’s IndiaAI Mission also invited proposals from start-ups, researchers, and entrepreneurs to develop state-of-the-art foundational AI models.
Apart from foundation models, the government has also received bids from nearly 10 companies to supply 18,693 GPUs.
