Missing Link In India's AI Growth Story: Compute Infrastructure
India’s AI boom is accelerating, but a shortage of GPUs and domestic compute infrastructure threatens to turn the country into a consumer, not creator, of AI. Building sovereign, scalable compute is now critical.
By Ankush Sabharwal
India is living its most ambitious AI moment. From voice-enabled payments in rural dialects to AI-powered healthcare pilots in tier-III districts, the country is no longer testing artificial intelligence's implementation at scale. Yet, beneath this optimism lies a structural bottleneck that rarely takes centre stage: compute infrastructure. Without resilient, affordable, and sovereign compute capacity, India's AI aspirations risk becoming consumption-led rather than creation-driven.
The AI market in India is set to reach a value of USD 17 billion by 2027, growing at a 25–35% CAGR. Digital adoption is racing ahead, and citizens are increasingly using Human-Centric Conversational AI and Telephone AI for everything from basic queries to telecom support and railway bookings. The flip side, though, is that the AI ecosystem supporting these services is still in want of more compute power, whereas India is still behind in the GPU concentration and the data centre infrastructure necessary for meeting the exponential growth in demand.
To unlock India’s full AI potential, building an indigenous, scalable compute infrastructure is essential, ensuring that our innovations run on our own hardware stack, optimised for our ecosystem, and not dependent on external control points.
AI Innovation Cannot Be Imported at Scale
What sets demand for AI in India apart is human diversity. The need to create accessible AI systems for 1.4 billion requires translation, yet goes beyond translation in needing cultural context, pronunciation intelligence, hyperlocal datasets, and Domain/Enterprise Specific Models in banking, healthcare, public services, agriculture, law, and governance. These models have to be lightweight, cost-efficient, multilingual, and deployable even on low-connectivity networks to enable ease of living for both citizens and enterprises.
Take the rise of AI Assistants (VideoBots, VoiceBots, ChatBots). Indian languages are one of the fastest-growing segments for Conversational AI. Be it guiding farmers on MSP prices, helping answer insurance-related queries, or taking care of millions of inbound calls, these are no simple chat interfaces. These applications demand real-time processing, custom model training, voice recognition at scale, and low-latency deployment of compute-intensive tasks.
What is more, the agentic AI systems are being adopted at a very fast rate, which is a transformative phenomenon; these systems not only reply but also autonomously reason, plan, and act. For enterprises that have implemented AI Agents for handling procurement workflows, customer resolution pipelines, or compliance audits, continuous access to computing resources is a must in order to train, refine, and scale the corresponding decision chains. The more intelligent the AI gets, the more computing power it requires.
The Roadblock: Cost, Capacity, Control
India's computing deficit affects three key stanchions:
- Cost: Training a large AI model in India is about 40–60% more expensive due to GPU scarcity and cloud dependency
- Capacity: Limited GPU clusters slow innovation cycles for startups and public-sector AI labs.
- Control: Weakened autonomy in model governance, data residency, and long-term AI sovereignty associated with reduced domestic compute.
The country has already seen scaled adoption across public digital platforms for Voice-First Conversational Agentic AI with CoRover BharatGPT. The next leap needs to ensure these solutions are running on Indian compute rails. If India gets computing right, it won't just build AI for India, it will build the most scalable, inclusive AI blueprint for the world.
India's AI journey is quickly moving forward, and the next breakthrough chapter will not only be coded but also graven in silicon, servers, and sovereignty. The ecosystem is already in place, the desire for innovation unparalleled, and the intention is on a national scale. With strategic investment in the infrastructure, India can step up from being a major adopter to a global architect of AI, designing systems that are Accessible, Human-Centric, Agentic, and Sovereign AI and that are capable of solving problems unique to India. India is not a follower of the AI future; it is a pioneer, compute core by compute core.
(The author is the Founder and CEO of CoRover)
Disclaimer: The opinions, beliefs, and views expressed by the various authors and forum participants on this website are personal and do not reflect the opinions, beliefs, and views of ABP Network Pvt. Ltd.
Top Headlines
