India is pursuing an expansive strategy to develop its own end‑to‑end AI ecosystem, aiming to compete with major global leaders like the United States and China rather than remain a user of foreign AI technologies. Officials and industry leaders attending the India AI Impact Summit 2026 in New Delhi highlighted that the country is investing across all layers of the AI “stack” — from foundational models and hardware infrastructure to energy systems and applications — with goals of technological sovereignty and innovation at scale. The plan is to reduce reliance on external technology while empowering local developers, enterprises, and public services to build and deploy advanced AI systems.
A major component of this strategy involves large‑scale investments in AI computing infrastructure, including hyperscale data centres powered by renewable energy and national collaborations with private firms. For example, corporate giants are planning significant commitments to build out high‑performance data centre capacity, which forms the backbone of AI compute capability. These initiatives align with broader efforts to support sovereign cloud platforms, on‑device AI models, and the next generation of deep‑learning systems — all designed within India’s policies for data security and digital autonomy.
Government officials have also projected hundreds of billions of dollars in investment across the AI ecosystem over the coming years. India’s leadership emphasizes building domestic AI stacks that include chips, platforms, models, and applications tailored to local languages and contexts, while fostering innovation locally. This push includes targeted support for startups and research institutions to create indigenous AI models and reduce dependence on imported technology, crucial for national security and economic competitiveness.
The overall intent behind these efforts is to position India not just as a consumer of AI technologies but as a producer and exporter of homegrown AI solutions — challenging the dominance of Western and East Asian tech powers. By focusing on sovereign AI infrastructure, localized models, and cross‑sector adoption, India aims to leverage its large talent base, diverse market, and policy momentum to shape the next wave of global AI innovation.
