Darshan Hiranandani : The launch of DeepSeek, a groundbreaking low-cost AI model from China, has sent shockwaves through the global AI community. With its affordable pricing and impressive capabilities, DeepSeek has quickly gained traction, disrupting the dominance of U.S. AI platforms like ChatGPT. As India grapples with the implications of this disruption, a growing chorus of voices is calling for the country to develop its own AI language models.
Rushabh Shah, angel investor and founder of Bolstart, raised a critical point during the Pune Public Policy Festival, emphasizing that India’s slow pace of decision-making could put its future at risk. He referred to the common practice in India of “chai” meetings—multiple, time-consuming discussions before making decisions. While this cultural approach has served India in the past, Shah warned that it could become a hindrance as the world races forward in AI development.
DeepSeek’s entrance into the AI market demonstrated that it is now possible to develop sophisticated language models with far less financial investment than previously thought necessary. For India, this represents an opportunity to rethink its approach to AI development. Rajeev Chandrasekhar, former minister of electronics and IT, pointed out that the emergence of DeepSeek illustrates how computing power is no longer a permanent competitive advantage. Instead, innovation and strategy are the keys to success.
Ajai Chowdhary, Chairman of the National Quantum Mission, further emphasized that India must capitalize on its data resources and focus on developing AI models tailored to Indian languages. DeepSeek’s rise has made it clear that India has the potential to build its own AI solutions, but it requires substantial investment in research and development. While the Indian government allocated Rs 1 lakh crore for R&D in the last budget, the execution has been insufficient, according to Chowdhary.
For India to remain competitive in the global AI race, it must foster an environment that encourages innovation and entrepreneurship. Darshan Hiranandani, CEO of Hiranandani Group, echoed the sentiment that DeepSeek’s success is proof that high-quality LLMs can be built with fewer financial resources than previously assumed. He called for a shift in institutional thinking, alongside increased government backing, to ensure India doesn’t fall behind.
Srikanth Velamakanni, co-founder and CEO of Fractal, also highlighted the importance of government involvement, pointing out that the necessary infrastructure, such as H100 GPUs, is already in place. What India needs now is to capitalize on this infrastructure with immediate action and strategic investment.
The rise of DeepSeek offers India a unique opportunity to take the lead in AI, particularly in creating models that cater to Indian languages and markets. By embracing bold action and innovation, India can chart its own path in the AI space and secure its place as a global AI leader.
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