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IndiaAI Mission: Govt Selects 8 Players to Build Indigenous LLMs, 500+ Data Labs

In a landmark push for India’s sovereign artificial intelligence capacity, the Government of India has announced the selection of eight teams — including Tech Mahindra, Fractal Analytics, Avataar AI, and the IIT Bombay-led BharatGen consortium – to build indigenous large language models (LLMs) under the IndiaAI Mission.

Alongside this, the Centre will establish more than 500 Data & AI Labs nationwide, aimed at empowering students, startups, and researchers with compute resources, datasets, and hands-on training opportunities.

8 Selected Projects

The projects span multilingual, multimodal, and domain-specific LLMs designed to serve agriculture, health, governance, STEM, and Indic language needs. The selected initiatives include:

IndiaAI Mission: Infrastructure Boost

The IndiaAI Mission, approved with an allocation of around ₹10,300 crore, is India’s most ambitious AI programme yet. It focuses on compute access, model development, skilling, and AI innovation hubs.

The government has already rolled out tens of thousands of GPUs, offering compute credits for startups, academia, and enterprises. With the new expansion, 570+ AI/data labs will be set up, ensuring access to students in Tier-2 and Tier-3 cities.

Talent & Research Push

To nurture the next generation of AI researchers, the IndiaAI Fellowship programme has been scaled to support 13,500 scholars across undergraduate, postgraduate, and PhD levels. This fellowship will give direct access to compute clusters and datasets, reducing barriers for Indian talent.

Opportunities & Challenges

This AI mission can be a turning point for India’s AI ecosystem:

However, challenges remain. High-quality Indic datasets are still scarce, GPU availability is tied to global supply chains, and AI safety & governance frameworks will need to keep pace with rapid scaling.

The IndiaAI Mission is expected to showcase the first wave of working models and lab networks at the upcoming India-AI Impact Summit 2026 (Feb 19–20, 2026). For India, this is not just about technology – but about establishing sovereignty in AI innovation, ensuring that the country’s unique linguistic, social, and scientific contexts are represented in future AI systems.

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