In a surprising turnaround, OpenAI CEO Sam Altman has expressed strong support for India’s growing role in artificial intelligence, calling the country’s progress “incredible” and urging it to become a leader in the global AI landscape.
Altman made the remarks during a meeting with Union IT Minister Ashwini Vaishnaw and OpenAI’s Pragya Misra on his most recent visit to India. He highlighted that India has become OpenAI’s second-largest market after the US, with user growth tripling in the past year.
Altman praised India’s innovation, mentioning his excitement about the nation’s plans to scale its AI development. He stated that OpenAI aims to deepen its engagement in India, particularly as the country ramps up efforts to build its own foundational AI models shortly.
Reversing course on earlier criticism
Altman’s endorsement of India’s AI capabilities marks a notable shift from his previous stance. In a 2023 interview, he expressed doubts about India’s ability to develop AI models comparable to OpenAI’s software. He dismissed the idea of competing with US tech giants on foundation model training, though he encouraged Indian firms to continue striving regardless of the challenges.
However, rising competition from China’s AI startup DeepSeek may have influenced Altman’s revised perspective. DeepSeek has disrupted the global AI sector with its cost-effective, open-source models, creating pressure on Western companies like OpenAI to adjust their pricing strategies.
Previously, major players like OpenAI, Google, Meta, and Microsoft dominated the AI industry, but DeepSeek’s success has demonstrated that other nations can compete with these giants.
India accelerates AI development plans.
India has fast-tracked its AI initiatives in response to global and domestic developments. Last week, IT Minister Ashwini Vaishnaw outlined a plan to build multiple foundation models within the next 10 months. The government has also launched the Rs 10,738 crore India AI Mission, which focuses on fostering innovation and identifying startups capable of driving AI development.
Altman’s visit to India on February 5 included a closed-door meeting with some of the country’s top startup founders and investors to discuss OpenAI’s strategy for the Indian market. Prominent attendees included Paytm’s Vijay Shekhar Sharma, Unacademy’s Gaurav Munjal, and Ixigo’s Aloke Bajpai. Investors from firms like Peak XV Partners, Accel, and Lightspeed Venture Partners were also present.
During the meeting, industry leaders spoke about OpenAI’s roadmap and innovations, including using AI agents and tools to address real-world challenges. Srikanth Velamakanni, co-founder of Fractal, described the discussions as insightful and expressed enthusiasm for OpenAI’s future projects.
Growing global competition in AI
Altman’s visit and India’s accelerated efforts are crucial as AI development increasingly becomes a key battleground for global tech leadership. China’s DeepSeek recently unveiled a large language model that rivals those from OpenAI, Google, and Meta at a fraction of the typical cost. This has prompted governments and companies worldwide to push for faster innovation.
With India’s ambitious plans and OpenAI’s renewed commitment, the country appears well-positioned to emerge as a major player in the AI revolution and contribute to a more competitive and diverse global AI landscape.
