17 Sep 2025: The Government of India is considering nearly doubling the expenditure on the IndiaAI Mission over the next five years to around ₹20,000 crore. According to sources, this decision is being taken in view of the expansion of the program and to strengthen the AI ecosystem.
The increased budget will be used to enhance graphics processing unit (GPU) capacity, develop indigenous foundation models, large language models (LLM), large reasoning models (LRM), and small language models (SLM), and involve more startups and companies.
Last year, the central government had allocated ₹10,372 crore for this mission, aimed at promoting AI innovation in the country through public-private partnerships. So far, startups such as Sarvam, SocketAI, GyanAI, and GanAI have been selected to develop foundational models.
- Sarvam AI – will develop an open-source LLM with 120 billion parameters for administration and public services.
- Socket AI – will create models based on linguistic diversity useful for defense, health, and education sectors.
- Gyan AI – will focus on multilingual, real-time voice processing.
- Gan AI – will develop a 70-billion-parameter multilingual text-to-speech foundation model.
Sources say that India must increase self-reliance at every layer of the AI stack, considering geopolitical circumstances. However, wealth management firm Bernstein has warned that without adequate resources, India’s initiative may prove ineffective on the global stage, as American companies dominate the AI sector through large investments and robust infrastructure.
Summary: The Indian government has proposed doubling the IndiaAI Mission budget, considering an expenditure of ₹20,000 crore to accelerate artificial intelligence research, innovation, and adoption nationwide.