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India has a massive talent pool, as with all things IT and computers. With AI taking over almost all aspects of our lives in some way or another and businesses keen on leveraging AI to drive down costs and improve profits, India has emerged as a frontrunner in AI talent. And yet, India’s AI scene is struggling to match global investment standards.
These findings come to us courtesy of Stanford University’s Artificial Intelligence Index Report 2024, which provides some insights into how India is positioned globally when it comes to Artificial intelligence.
According to the report, India claims to be in the top spot worldwide for relative AI skill penetration. Additionally, it ranks among the top four nations globally for relative AI hiring rates.
However, despite its incredible talent pool, India’s concentration of AI talent remains modest. However, its growth rate in this aspect has been the fastest globally from 2016 to 2023.
While India excels in nurturing AI talent, it must catch up in investment ventures. The report reveals a stark contrast between India and the United States regarding private investments in AI.
Over the past decade, India contributed a mere 0.2 percent to global AI patents, and only $9 billion was invested in AI ventures from 2013 to 2023. In contrast, the US invested a staggering $335 billion in AI during the same period.
Seeing how important it is to foster AI innovations in India and develop India’s own sovereign AI, primarily through private investments, the Indian government is planning to collaborate with NVIDIA.
In a bid to encourage startups, the government is making it easier for them to access AI-capable GPUs from NVIDIA, the global leader in this Field. This move mainly aims to reduce the financial barriers stopping startups from acquiring essential computing resources for working on AI development.
If the partnership goes through, NVIDIA’s cutting-edge GPUs, including the H100 and Blackwell cards, will be accessible to Indian startups at discounted rates or on a lease. These GPUs, crucial for running AI models and facilitating innovation, would otherwise be financially out of reach for many startups.
The H100, the top-of-the-line AI chip that NVIDIA makes, sells for about $50,000 each, whereas the more recent Blackwell cars retail for about $30,000. The central government’s initiative will significantly empower local businesses to enhance India’s global AI presence.
To that effect, the Indian government is poised to finalize a Rs 10,300 crore deal with NVIDIA to procure GPUs. This strategic investment underscores India’s commitment to fostering technological advancement and leveraging AI for economic growth.
As India continues to harness its vast AI talent pool, concerted efforts are underway to bridge the investment gap and propel the nation towards AI-driven innovation. With government support and industry collaborations, India aims to carve a prominent niche in the global AI ecosystem, ensuring a prosperous future powered by cutting-edge technology.
