AI Geopolitics: India’s Current and Future Strategies
Artificial Intelligence (AI) is rapidly evolving from just a technological tool to a powerful instrument of geopolitics, fundamentally reshaping global power structures and strategic choices. For India, the stakes are monumental, as AI offers transformative opportunities in diplomacy, defense, economy, and societal development, but also presents complex challenges around ethics, sovereignty, and global competitiveness.
India’s Current AI Landscape
India’s AI strategy is anchored by major policy initiatives like the IndiaAI Mission, which has invested over ₹10,000 crore to scale AI development across seven strategic pillars—including compute infrastructure, high-quality datasets, and responsible governance. India is building more than 18,000 GPU-powered supercomputing systems to support foundational models, and hosts over 3,000 AI startups, with rapid innovations in fintech, healthtech, agritech, and edtech. The government emphasizes inclusivity and
data sovereignty, aiming to democratize AI’s benefits and ensure ethical, transparent use.
Geopolitical Dynamics: US, China, and India
India occupies a unique strategic position between US techno-liberalism and China’s state-led authoritarian AI approach. While the US leads in private-sector innovation, China leverages massive state investment for infrastructure-driven AI leadership. India’s approach blends healthcare, agriculture, and governance with ethical, inclusive priorities, increasingly positioning itself as a normative AI power, especially among Global South nations.
India’s Data-Centric Strategic Choices
The India Dataset Platform provides organized, sector-specific access to datasets, fostering next-gen AI solutions for local needs.
Privacy and accountability are central, with the Digital Personal Data Protection Act requiring anonymization, privacy-preserving AI tools, and robust oversight.
Public-private partnerships enhance research and innovation ecosystems, helping drive AI deployment in critical domains.
Data sovereignty remains paramount. Decisions on AI infrastructure, such as deploying domestic supercomputers, reduce dependency on foreign cloud or chip providers, boosting self-reliance and security.
Diplomatic and Soft Power Implications
AI amplifies India’s soft power, shaping narratives in multilateral forums (G20, Quad, GPAI). Indian open-source LLMs like BharatGPT and multilingual NLP models expand India’s normative influence, reinforcing its global soft power, especially in the Global South.
India’s unique position allows it to steer emerging global norms—advocating for responsible AI that addresses bias, privacy, and societal impact. Its voice increasingly shapes international AI governance.
Economic Impact and Projections
● AI is projected to contribute over US$ 967 billion to India’s economy by 2030, enhancing productivity across sectors.
● The global AI contribution is estimated at US$ 15.7 trillion, with India poised to become a critical stakeholder in this growth.
Strategic Options Ahead
- Accelerate AI Infrastructure Investment: Ensure robust funding for domestic compute infrastructure to support foundational model development and innovation.
- Deepen Data Sovereignty: Advance data protection frameworks and build AI models on locally curated, anonymized datasets for security and trust.
- Prioritize Ethical and Inclusive AI: Maintain India’s leadership in responsible AI, balancing innovation with equity and safety.
- Expand Global AI Diplomacy: Lead in AI governance forums, advocating for fair digital trade and ethical standards relevant to the Global South.
- Build Talent and R&D Capacity: Invest in skilling, research clusters, and startup incubation to retain AI talent at home.
Conclusion
India stands at a critical juncture where its strategic choices in AI will dictate not only domestic development but also global influence. By leveraging data sovereignty, scaling ethical innovation, and leading in global AI governance, India can elevate its position from a technology adopter to a defining architect of the future AI-powered world order.