India invests 1.2 billion dollars in the development of artificial intelligence, and has the human resources for it
The Indian government has approved the India Artificial Intelligence (AI) Mission, with an outlay of Rs 10,372 crore ($1.2 billion) over five years, to encourage the development of AI and supercomputing capability in the country.
The starting point of its ambitious AI mission is to enable access to 10,000 graphics processing units (GPUs), as demand for GPU-based servers has increased because they can process data at a higher speed than CPU-based servers. GPUs are essential for building AI-based applications and models.
India's mega AI mission will operate on a public-private partnership model and extend GPUs as a digital public infrastructure capable of offering AI-as-a-service, as well as providing access to targeted funding for AI startups. The graphics processing units approved under the IndiaAI Mission will be made available in the next 18-24 months. Practically the state will build, at its own expense, a huge server farm whose processing capacity will be made available to private individuals who want to develop this type of technology.
As the buzz around artificial intelligence and generative AI continues to grow, the Government's mission is to fill an important investment gap in generative startups by providing capital to Indian ones. For example, between 2013 and 2022, investment in India stood at just $8 billion, while the United States saw nearly $250 billion in private investment in AI startups.
In fact, given the scarcity and exorbitant costs of this infrastructure, startups have requested the creation of a cluster of GPUs that they can access. Access to a cluster of GPUs makes it easier for AI startups to attract more investments.
Investing in 10,000 GPUs and making them available to researchers and innovators is a step towards making India the AI application capital of the world. By freeing themselves from reliance on models from the likes of OpenAI and MetaAI, startups can now build fundamental models from scratch for a variety of applications.
According to Information Technology Minister Ashwini Vaishnaw, “The focus is on developing the entire ecosystem, from computing power to models, from applications to talent, from data platform to regulatory framework.”
Rackspace Technology, a Texas-based global cloud computing company, is interested in establishing a data center in India as more local companies adopt artificial intelligence. In India, Rackspace has 142 customers from sectors such as manufacturing, especially automobiles and consumer packaged goods, retail, logistics and banking.
The forecast for the Indian AI landscape seems optimistic. The Stanford AI Index 2023 ranks India as a global leader in AI skills penetration. It is estimated that through the adoption of GenAI, India can potentially add $359-438 billion to its GDP in 2029-30, above baseline estimates.
And in seven years, GenAI's contribution is expected to translate into a cumulative GDP of $1.2 trillion to $1.5 trillion. According to a report titled 'AI's Role in Turbocharging the Industry', jointly authored by IT industry body Nasscom and Boston Consulting Group, the Indian AI market is set to expand at a compound annual growth rate (CAGR) of 25% through 2027, driven not only by increased investment, but also by a growing talent pool and concerted efforts by companies to upskill their workforce.
In the meantime, the aim is also to retain on site the increasingly numerous IT experts who come to be trained in Indian universities, where there are an ever-increasing number of enthusiastic students who, if they don't find work, unfortunately then have to go and increase the numbers of those looking for work in the USA.
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The article India invests 1.2 billion dollars in the development of artificial intelligence, and has the human resources for it comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/lindia-investe-12-miliardi-di-dollari-nello-sviluppo-dellintellligenza-artificiale-e-ne-ha-le-risorse-umane/ on Mon, 11 Mar 2024 20:31:40 +0000.