A new Indian AI model that aims to compete globally is set to launch next year, as revealed by the venture capital firm Lightspeed. This ambitious project, called Sarvam AI, is working towards developing a model with one trillion parameters within the next six months. Although models from major companies like OpenAI and Alibaba are larger, this development highlights the growing aspirations of Indian tech firms.
Hemant Mohapatra, a partner at Lightspeed, shared in an interview with Bloomberg Television that the upcoming model will be highly competitive. He emphasized the importance of creating models that excel in performance, affordability, and user-friendliness.
Lightspeed has been an early investor in several Indian startups, including Sarvam AI and Emergent, along with other AI-related ventures such as Portkey and Composio. Mohapatra noted that approximately 80% to 90% of Lightspeed’s investments in India now focus on the AI sector, which is a significant increase from around 20% a few years ago.
Having previously worked at companies like AMD and Google, Mohapatra explained that India’s unique societal challenges necessitate the creation of custom AI solutions tailored for the local market. He stated, “You have to build something locally to be able to serve something locally.”
Most of Lightspeed’s current portfolio companies are now developing AI applications, marking a shift from previous investments in AI infrastructure. Mohapatra pointed out that the focus has evolved to deliver more direct value in the AI space.
Language presents a significant challenge for AI in India, especially as the country has nearly two dozen official languages and hundreds of dialects. This diversity complicates the rollout of AI technologies, even amid Prime Minister Narendra Modi’s goal of democratizing AI access.
Affordability is another crucial factor, with Mohapatra noting that AI services must be accessible at a large scale and at lower price points. In fact, Indian consumers enjoy some of the lowest costs for popular AI platforms globally. For instance, OpenAI offers a subscription plan for 399 rupees (less than $5), while Cursor has its own plan available for 649 rupees.
Overall, the rise of AI in India marks a significant moment in the tech landscape, with homegrown models set to play a vital role in addressing local needs.
