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Tag: #news

  • Daily Indian Funding Roundup & Key News – 19th September 2025: SpaceFields Raises $5 Mn, Equilibrium Secures $3 Mn, ITC Price Updates & Taj Hotels Exit Buzz

    India’s startup and business ecosystem on 19th September 2025 witnessed notable developments across funding and corporate news. Aerospace startup SpaceFields and climate-tech venture Equilibrium announced fresh capital infusions, while in the corporate sector, ITC Ltd confirmed passing GST benefits to consumers and reports emerged of Taj Hotels considering an exit from New York’s iconic Pierre Hotel.

    Daily Indian Funding Roundup – 19th September 2025

    Company Amount Round Lead investor(s) Sector
    SpaceFields $5 Mn Pre-Series A Transition VC; Speciale Invest; growX, Anicut Capital, Atrium Angels Aerospace / Space-tech
    Equilibrium $3 Mn First institutional round Kalaari Capital; Avaana Capital; Peak XV Partners Climate-tech / Carbon removal
    Blue Energy Motors $30 Mn Growth / Expansion Nikhil Kamath; Omnitex Industries Electric & LNG heavy-duty trucks / Green mobility

    SpaceFields raises $5 Mn in pre-Series A round

    Aerospace startup SpaceFields has secured $5 million in its pre-Series A round led by Transition VC and Speciale Invest, with participation from growX, Anicut Capital, and Atrium Angels. The company develops advanced propulsion systems for satellites and space launch vehicles, aiming to improve efficiency and lower costs in the global space industry.

    Equilibrium raises $3 Mn from Kalaari, Avaana, and Peak XV

    Climate-tech startup Equilibrium has raised $3 million in its first institutional funding round from Kalaari Capital, Avaana Capital, and Peak XV Partners. Founded in 2024, Equilibrium provides full-stack carbon removal solutions through agroforestry, regenerative farming, mangrove planting, and biochar projects, involving over 60,000 farmers and coastal communities.

    Blue Energy Motors raises $30 Mn to develop EV & LNG trucks

    Blue Energy Motors (BEM), an Indian startup specializing in heavy-duty trucks powered by LNG and electric technology, has secured $30 million in a growth/expansion round led by Nikhil Kamath and Omnitex Industries. The new capital will be used to fully utilise its current manufacturing capacity (10,000 trucks/year), accelerate development of both LNG and EV truck models, and scale its presence across India.

    Key Business News for 19th September 2025

    ITC to pass on full GST rate-cut benefits to consumers by September 22

    FMCG giant ITC Ltd has announced that following the GST Council’s tax rationalisation (moving to a two-slab structure of 5% and 18%), it will pass on the full benefit of the rate cut to consumers across its product portfolio. Starting September 22, 2025, ITC’s FMCG products—sold through about 7 million retail outlets nationwide—will reflect lower prices. The move aims to increase affordability, stimulate consumption, and boost economic growth.

    Taj Hotels may exit NYC’s iconic Pierre Hotel in $2-billion deal

    Reports indicate that the Taj Hotels chain (IHCL) may exit its management/leasehold arrangement of New York’s Pierre Hotel following interest from prospective buyers—including the Sultan of Brunei and Saudi businessman Essam Khashoggi—in a possible US$2 billion deal. The iconic property, in Manhattan overlooking Central Park, has been operated by Taj since 2005. While financial performance and rising costs are said to be part of the backdrop, IHCL has clarified it holds leasehold rights, and at the time of reporting, operations continue as usual.

    Daily Indian Funding Roundup & Key News – 18th September 2025
    India’s startup and business ecosystem on 18th September 2025 saw a mix of significant funding rounds and key developments.
    StartupTalkyStartupTalky News

  • Ghazal Alagh Calls Out 5 AM Club and Rigid Routines: ‘We’re Burning Out Trying to Force Ourselves Into Them’

    Ghazal Alagh, co-founder of Mamaearth and investor on Shark Tank India, has criticised traditional productivity frameworks, saying they were designed primarily by men, for men, and often ignore the unique biological rhythms of women.

    In a recent LinkedIn post that has attracted widespread attention, Alagh explained that many popular routines, including the “5 AM Club” and rigid gym schedules, can be counterproductive for women. “The 5 AM club demands you wake up at dawn every single day. Daily gym consistency expects the same workout intensity regardless of how you feel. Ice baths and rigid morning routines ignore your body’s natural fluctuations,” she wrote.

    Women’s 28-Day Biological Cycle Matters

    Alagh highlighted that women’s bodies operate on a 28-day hormonal cycle, unlike men’s relatively stable daily patterns. This cycle influences energy, creativity, and focus throughout the month.

    “One week we experience high energy and peak performance, making it the perfect time to tackle our biggest challenges. Another brings our creative peak, ideal for brainstorming and strategic thinking. And then one week, just getting through is brave enough,” she said.

    “Forcing ourselves to hit the gym with the same intensity every day when our hormones signal rest isn’t discipline, it’s self-sabotage,” Alagh noted.

    Aligning Work With Natural Energy Can Reduce Burnout

    Alagh suggested a female-optimised approach that respects natural fluctuations while maintaining consistency. She recommended aligning tasks with energy levels:

    • High-energy phases for tackling high-impact tasks
    • Creative peaks for brainstorming and innovation
    • Sharp-minded periods for detail-oriented work
    • Introspective phases for strategic reflection

    “Work doesn’t pause, and neither do we. By aligning our energy with our tasks where possible, we maximise output and minimise burnout. The results are more favourable — stronger performance, sustained focus, and a system that feels authentic to who we are,” she explained.



    Rethinking Productivity Frameworks

    Alagh concluded her post by encouraging women to reconsider traditional productivity models. “Girls, we don’t need to optimise for male patterns of success. We need frameworks that honour how we’re wired,” she wrote, inviting her network to share strategies that work best for them.

    Her insights have sparked conversations on how workplace expectations and conventional success systems can be adapted to support women more effectively. Many experts say such approaches are crucial for sustaining performance and well-being in female-led businesses.

    Ghazal Alagh Breaks the Tug-of-War Myth: How Kid-Time Teaches Boardroom Brilliance
    In a recent LinkedIn post, Ghazal Alagh, co-founder of Mamaearth shared her thoughts on how being a mom makes her a better founder.
    StartupTalkyMuskaan Kapoor

  • Microsoft Mandates 3 Days Office Attendance, Non-Compliance May Risk Jobs

    With an ultimatum to staff members, Microsoft is formally ending its period of flexible remote work: work from the office at least three days a week or risk having their career options restricted. With effect starting in February 2026, the Redmond giant’s new policy marks a significant departure from its flexibility during the pandemic. In an internal memo, Chief People Officer Amy Coleman stated that the mandate begins with employees in the Seattle region who live within 50 miles of Microsoft offices.

    As the organisation places a greater focus on face-to-face collaboration for career advancement, employees who don’t comply may find themselves at a disadvantage. Coleman suggested that distant workers might find it difficult to prove their worth.

    “We’ve looked at how our teams work best, and the data is clear: when people work together in person more often, they thrive—they are more energised and empowered, and they deliver stronger results,” Coleman said.

    Microsoft Focusing on Employee Performance

    The policy is part of Microsoft’s larger effort to enhance employee performance, which has included the recent firing of thousands of people who were thought to be underperforming and the implementation of accelerated improvement programmes aimed at firing underperforming employees. This situation implies that workers who defy the office directive can be subject to closer scrutiny during assessments.

    The Puget Sound region will be the initial phase of the deployment, followed by other US locales and, in 2026, worldwide operations. Although the requirements for approval are still unknown, employees have until September 19 to request exceptions.

    Microsoft Employees Need to Come Out of WFH Culture

    Coleman underlined that Microsoft’s current objective, the creation of AI products, necessitates intelligent individuals collaborating to solve difficult challenges.

    This wording suggests that remote workers might not be able to participate in high-profile projects that are essential for advancing their careers. Due to client needs, some positions, such as field marketing, consulting, and account management, will be exempt. The message is obvious for the majority of workers, though: accept the return to the office or risk being left out of Microsoft’s expansion plans.

    Microsoft Recent Layoff

    Microsoft revealed plans to reduce its staff by 3% earlier this year in February. This layoff effort will impact about 6,000 employees across all teams and levels. Microsoft said in a statement to CNBC that it is still making the organisational adjustments required to put the business in the best possible position for success in a changing market.

    Despite Microsoft’s better-than-expected quarterly net profitability of $25.8 billion, the layoffs nonetheless occurred. While cutting expenses elsewhere to protect profit margins, Big Tech has been investing substantially in AI because they see the new technology as a significant growth engine. In an effort to reduce expenses and give AI top priority, Google has also let go of hundreds of workers in the last 12 months.

    Quick
    Shots

    •Policy begins with Seattle region
    employees living within 50 miles of offices.

    •Non-compliance may limit career
    growth and project opportunities.

    •Chief People Officer Amy Coleman:
    in-person work boosts collaboration, energy, and results.

    •Employees can request exceptions
    until September 19, 2025.

  • Airtel Payments Bank introduces Safe Second Account – A smarter, safer way to pay

    Digital payments are now an integral part of daily life; from UPI payments at kirana stores to shopping malls, paying for OTT subscriptions, booking travel, settling utility bills, online shopping and more. However, with this convenience comes an increasing risk of online fraud, including phishing, fake apps, SIM swaps, and unauthorised transactions. To give consumers peace of mind, Airtel Payments Bank has introduced the Safe Second Account – a smarter, safer way to pay. It’s a choice that enables customers keep their primary savings protected, while they freely use the Airtel Payments Bank savings account as their second account for everyday payment needs. 

    Why a Safe Second Account? 

    Instead of risking the core savings with every digital transaction, customers can simply use Airtel Payments Bank’s safe second account for daily spending. That way, the main savings remain shielded from fraud. Safe Second Account benefits include: 

    1. Instant account opening via Airtel Thanks app
    2. Earn interest upto 6.5%* (T &C Apply)
    3. Zero minimum balance requirement
    4. Seamless UPI integration
    5. Eco-friendly debit card with benefits up to INR 15,000
    6. Full suite of bill payment and recharge options

    Security as the bedrock of Safe Second Account 

    The account comes with multiple safeguards built for today’s digital risks, including:

    1. Fraud alarm: instantly block suspicious activity 
    2. Sleep mode: put your account on pause when not in use 
    3. AI-driven face match to detect high-risk transactions 
    4. Set daily transaction limits and get real-time alerts 

    Anubrata Biswas, MD & CEO, Airtel Payments Bank, said, “Digital payments have transformed the way India manages money, but with convenience comes the responsibility of ensuring safety. The Safe Second Account is a step in that direction – encouraging a simple yet powerful habit of separating everyday transaction funds from core savings. We believe this small behavioral shift can help consumers embrace digital transactions more securely, and over time, shape the future of safe banking in India.”

    Accessible to all segments, the Safe Second Account has no entry barriers, can be opened digitally on the banking section of the Airtel Thanks App.

    About Airtel Payments Bank

    Airtel Payments Bank offers a diverse range of safe, simple, and rewarding banking solutions through a network of over 5 lakh banking points across India, alongside its robust digital platforms. With a strong focus on Digital India and Financial Inclusion, Airtel Payments Bank continues to lead the charge in making secure digital payments more accessible to all resident Indians.

    Airtel Offers Free Apple Music to Prepaid Users
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    StartupTalkyNitin Konde

  • Taj Hotels May Exit NYC’s Iconic Pierre Hotel in $2 Billion Deal

    The Taj chain’s The Pierre Hotel in New York might witness a change of ownership. Essam Khashoggi, a Saudi billionaire, and the Sultan of Brunei have both indicated interest in paying $2 billion to purchase the famous Manhattan estate. After managing the Pierre for almost 20 years, Taj might leave if the deal is finalised.

    As a result, Taj will only have one property in the US: San Francisco’s Taj Campton Place. Taj’s website states that it purchased The Pierre in 2005 and made it its flagship property in North America. Four years later, the upscale hotel underwent a $100 million restoration.

    United Overseas Holding (UOH), a 100% subsidiary of Indian Hotels (IHCL), a Mumbai-listed company that owns the Taj chain and is a member of the $165 billion Tata Group, is the parent company of the hotels in New York and San Francisco. According to business reports, IHCL invested INR 2,324 crore in stock in UOH in FY25. But throughout that time, UOH claimed to have lost INR 82 crore.

    Taj Put Up The Pierre Hotel for Sale Last Year

    After deteriorating into a “less-than-ideal” state, the 189-room, restaurant and luxury apartment complex known as The Pierre was listed for sale last year. Owners of apartments are also the property’s stockholders.

    Among them are prominent figures such as former Disney CEO Michael Eisner, Princess Firyal of Jordan, fashion designer Tory Burch, and US Commerce Secretary and trade negotiator for President Donald Trump Howard Lutnick, who owns a penthouse.

    Exit Might Scale Down Taj’s International Footprints

    The departure would signal a reduction in Taj’s global presence if the purchase closes. At the July AGM, IHCL chairman N Chandrasekaran recently informed shareholders that the company had no ambitions to expand aggressively abroad. According to him, the group is not considering every international market when it comes to international expansion.

    It will take into account city-specific prospects in regions like South Africa, Africa, and New Zealand, but it will not seek extensive international expansion. In FY25, IHCL’s overseas hotels brought in around INR 1,512 crore in revenue and made Rs 202 crore in operating profit. According to NYT, Taj has defended its property management and suggested improvements that wouldn’t force the occupants to vacate. The Pierre’s board is in the last phases of the selling discussions, the NYT report further mentioned.

    Quick
    Shots

    •Saudi billionaire Essam Khashoggi and
    the Sultan of Brunei show interest in buying the property.

    •Taj acquired The Pierre in 2005;
    underwent $100 million renovation in 2009.

    •If sold, Taj’s only U.S. property
    will be Taj Campton Place in San Francisco.

    •Parent company United Overseas
    Holding (UOH) reported INR 82 crore loss in FY25, despite INR 2,324 crore
    infusion.

  • Consumers to Get Full Benefit of GST Rate Cuts as ITC Updates FMCG Prices

    After the central government-led GST council decided to revamp the economy’s current tax structure, the fast-moving consumer goods (FMCG) giant ITC Ltd announced on September 18, 2025, that it has decided to pass on the full benefit to its customers across the firm’s portfolio.

    ITC Bringing Required Relief to Consumers

    ITC executive director B. Sumant stated that the changes have been revolutionary for businesses and consumers alike, facilitating compliance and fostering expansion. He went on to say that the rationalisation of the GST rate in a number of sectors will undoubtedly benefit consumers by increasing affordability, stimulating consumption, and bolstering investments, growth, and jobs.

    The full advantages of the GST rationalisation will be transferred to all relevant products at ITC. According to the corporation, its FMCG companies reach about 7 million retail locations throughout India and cover a broad range of categories and goods. In contrast to its previous multi-slab structure, the national government’s GST Council suggested that India have two GST tax slabs, one at 5% and another at 18%, during its 56th meeting on September 3, 2025. On September 22, 2025, the revised GST structure is scheduled to go into force.

    Like ITC, Maruti SuZuki Also Announced Price Cuts

    As a result of the GST council’s rate rationalisation decision, automakers such as Maruti Suzuki announced their own price reductions. The sub-four-metre car market, which makes up a major amount of the company’s portfolio, is currently being capitalised on by India’s largest automaker.

    Maruti Suzuki passenger cars will be up to INR 1.29 lakh less expensive starting on September 22, 2025, the day the revised GST structure goes into effect, according to earlier reports from a number of media outlets.

    Following the GST rate reductions in the Indian economy, additional automakers, including Mahindra & Mahindra, Tata Motors, TVS Motor Co., Yamaha, Honda Automobiles, and Hero MotoCorp., have announced price reductions on the ex-showroom prices of their vehicles.

    It is anticipated that these price cuts will increase consumer spending and maybe increase demand for these commonplace items. Additionally, the action shows that the FMCG industry is committed to transferring the advantages of tax cuts to final customers.

    Customers are anticipated to embrace the price cuts for these well-known FMCG brands, which could result in higher sales volume in the upcoming months. These price reductions may further encourage consumer spending in the FMCG industry as the festive season draws near.

    Quick
    Shots

    •Consumers to get direct price relief
    on ITC products from September 22, 2025.

    •ITC FMCG products available in 7
    million retail outlets nationwide.

    •Maruti Suzuki, Mahindra, Tata Motors,
    TVS, Yamaha, Honda, Hero MotoCorp also announce price cuts.

    •Maruti Suzuki cars up to INR 1.29
    lakh cheaper post-GST rate cut.

  • Hyundai’s New Wage Agreement: INR 31,000 Monthly Pay Hike in Landmark 3-Year Deal

    Good news for Hyundai India employees. The company has signed a 3-year deal (effective from April 1, 2024, to March 31, 2027) with the workers’ union to give a big salary hike of INR 31,000 per month. The deal also continued health and wellness benefits. The agreement applies to about 2,000 employees. Notably, this is one of the best deals in terms of pay in India’s auto industry. Here’s a full breakdown of the salary details. Learn more.

    Salary Increase

    The employees will get a total salary hike of INR 31,000 per month over these 3 years. However, the salary hike will not be all at once. It will be in three ratios:

    • 55% in the first year
    • 25% in the second year
    • 20% in the third year

    Here, the employee would get a big chunk of the hike in the first year only. Hyundai itself is calling this move the “industry-best” hike and that it is setting a new benchmark in the auto industry. 

    Employee Welfare

    The salary hike isn’t the only aspect in the deal; Hyundai has also promised to continue giving:

    • Top-class health insurance for its employees.
    • Advanced wellness programs (which include health, fitness, and well-being). 
    United Union of Hyundai Employees (UUHE) image credits @hdhyundaiceindia
    United Union of Hyundai Employees (UUHE) image credits @hdhyundaiceindia

    About the Union (UUHE)

    Since 2011, the United Union of Hyundai Employees (UUHE) has been the official union of Hyundai India’s workforce.

    The union comprises 1,981 employees, and about 90% of them are technicians and workmen at Hyundai’s Indian operations.

    Mr Youngmyung Park, Function Head (People Strategy) at HMIL image credits @hdhyundaiceindia
    Mr Youngmyung Park, Function Head (People Strategy) at HMIL image credits @hdhyundaiceindia

    According to Hyundai, It Believes That:

    • Its employees are a very crucial part of Hyundai’s success.
    • The deal is signed with trust, respect, and dialogue.
    • It represents Hyundai’s efforts to create a progressive workplace culture for its employees.
    • The more it cares, the better the company will grow in the long term. 

    “Our people are the cornerstone of our success. This agreement, built on mutual trust, respect, and constructive dialogue, reflects our shared commitment to fostering a progressive workplace culture that prioritises employee welfare and supports long-term organisational growth,” said Mr Youngmyung Park, Function Head (People Strategy) at HMIL.

    Effects of the Deal on Hyundai Motor Stock

    Just after the deal hit the news, the Hyundai Motor India shares rose 2% to INR 2,659.90. It’s a new 52-week high for the company. 

  • Rivals to Partners: Nvidia Pumps $5B Investment Into Intel. Teaming Up?

    Nvidia was once rejected by Intel (the company declined to acquire Nvidia for $20 billion in 2000). After two decades of that, in September 2025, Nvidia gave a lifeline to Intel by buying its shares worth $5 billion. The king of chips, Intel, back then didn’t believe in the idea of the GPU (graphics processing unit). Right now, Nvidia is the biggest AI chipmaker and has come to Intel’s rescue, owning 4% of the company. So, why did the tables turn? Does AI have any role in this shift? Why are rivals partnering together now? Learn more. 

    Why Is This a Big Deal?

    For decades, Nvidia and Intel have been rivals in the chip-making industry. Ironically, Nvidia was rejected by Intel in 2000, but since 2025, both have been partnering for AI and PC development.

    This move has come after:

    • In August, the U.S. government acquired a 10% stake in Intel.
    • And SoftBank (Japan) invested about $2 billion in Intel.
    • So, in short, Intel is becoming a global AI and chip hub with tech giants investing in it.

    What Intel And Nvidia Are Planning Together?

    For AI Data Centers:

    • In this deal, Intel will make CPUs (computer processors) that are specially customized for Nvidia.
    • These customized CPUs will directly work with Nvidia’s AI platforms.
    • These CPUs will use NVLink, Nvidia’s powerful tech that enables fast communication between chips.
    • The goal is to build super-efficient AI data centers that combine Intel’s CPUs + Nvidia’s GPUs.

    For Personal Computers (PCs):

    • In the case of PCs, Intel is planning to build new x86 system-on-chips (SoCs).
    • These SoCs, powered by Intel, will have Nvidia RTX GPU chiplets (meaning these are small, powerful graphics parts).
    • Currently, the PCs come with these two separate chips, but this is no longer the case. PCs will come with Intel CPUs + Nvidia RTX graphics combined in one chip.
    • So, the PCs will be more powerful for AI, gaming, and heavy computing.

    What Did Nvidia’s CEO Say?

    Jensen Huang, Nvidia’s CEO, calls this partnership “historic.”

    He affirmed that AI is the start of a new industrial revolution. According to him, everything in computing would change, from chips to software.

    According to Jensen, combining Nvidia’s AI stack (CUDA, GPUs, accelerated computing) with Intel’s CPUs and x86 ecosystem (the standard for most PCs) will:

    • Boost for companies’ ecosystems.
    • Set a solid foundation for next-gen computing.
    • And strengthening both of their dominance in the chip-making industry. 

    He said, “AI is powering a new industrial revolution and reinventing every layer of the computing stack — from silicon to systems to software. At the heart of this reinvention is Nvidia’s CUDA architecture.” 

  • SEBI Rejects Hindenburg Allegations, Clears Adani Group Companies of Wrongdoing

    The Securities and Exchange Board of India (SEBI), which oversees the Indian market, has rejected claims made by US short seller Hindenburg Research against Gautam Adani, the chairman of the Adani Group, and the group’s businesses, Adani Enterprises, Adani Ports, and Adani Power.

    The organisation was accused by Hindenburg Research in January 2023 of using three businesses—Adicorp Enterprises, Milestone Tradelinks, and Rehvar Infrastructure—to transfer funds between Adani group enterprises. In two judgements outlining its findings, SEBI stated that there were no infractions and pointed out that the transactions occurred during a period when dealings with unrelated parties did not count as related party dealings. Later, the definition was modified.

    According to a report by news agency PTI, SEBI halted all of its actions against the Adani Group, stating that all loans were paid back, the money was used for the authorised purposes, and there was no evidence of fraud or unfair trade practices.

    Gautam Adani Responds to the Development

    Gautam Adani stated in a post on September 18 that the SEBI’s conclusions confirmed the short seller’s unfounded allegations. In a post on X, he stated that following a thorough examination, SEBI has confirmed what the organisation had consistently said: that the Hindenburg allegations were unfounded.

    The Adani Group has always been known for its honesty and openness.The company is extremely sorry for the investors who lost money as a result of this dishonest and self-serving report. The country deserves an apology from those who propagate incorrect information.The Adani Group is steadfast in its dedication to nation-building, Indian institutions, and Indian citizens. Jayate Satyamev! JAI HIND!

    Former SEBI’s Executive Director Backs Adani Group

    Former SEBI executive director JN Gupta told NDTV that nearly everyone had progressively come to the conclusion that “the Adanis were not on the wrong side” in the years since the Hindenburg report was made public. According to Gupta, this order definitively establishes that the Hindenburg Report was untrue.

    This reveals two things: first, that SEBI’s system has to be improved because it has taken more than two years to reach this judgement, and second, that it believes a lot of things without supporting evidence. The report caused panic among retail investors, who liquidated their holdings and suffered losses.

    The short seller’s claims have been repeatedly denied by the Adani Group, whose founder, Nate Anderson, declared in January that it will be shut down. Gautam Adani has stressed the significance of “rising stronger after every fall” in his remarks regarding Hindenburg’s later impacted jobs.

    Quick
    Shots

    •SEBI says all loans were repaid,
    funds used legally, and no fraud or unfair trade practices occurred.

    •Hindenburg had accused Adani of fund
    transfers via Adicorp Enterprises, Milestone Tradelinks, and Rehvar
    Infrastructure.

    •SEBI noted transactions occurred
    before rules on related-party dealings were revised.

    •Adani says verdict proves allegations
    were baseless and seeks apology for investor losses.

  • IndiaAI Mission Selects Fractal, Tech Mahindra and 6 Others to Develop Indigenous LLMs

    Under the IndiaAI Mission, the Centre has chosen eight new organisations to create indigenous fundamental large language models (LLMs). At today’s AI Impact Summit 2026 kickoff event, IT minister Ashwini Vaishnaw announced the eight companies that have been chosen: Tech Mahindra, Fractal Analytics, Avataar AI, Zeinteiq Aitech Innovations, Genloop Intelligence, NeuroDX (Intellihealth), Shodh AI, and IIT Bombay’s BharatGen consortium.

    With INR 988.6 Cr in funding from the Mission, IIT Bombay is reportedly developing a trillion-parameter model. Sarvam AI, Gnani.ai, and Gan AI were the three startups chosen in the initial phase of the IndiaAI Mission to develop AI models.

    The first batch of models is “progressing well”, according to the IT minister, who also voiced optimism that India will have operational LLMs by the time of the AI Impact Summit in February of the next year. In the next ten days, the government also intends to publish an AI framework to direct the creation and application of models.

    “India finally wants to play in the big leagues of AI. The government is throwing its weight behind IIT Bombay, Fractal, Tech Mahindra, and a few others to build indigenous LLMs. On paper, it’s bold. In practice, it’s an uphill climb. Now, with AI, we don’t have the luxury of missing the bus. AI isn’t just another industry. It’s the foundation of every future industry: health, defense, finance, education, governance. If India is only an “AI service center,” we’ll be permanently dependent, permanently behind,” opined Kapil Gupta, Founder, Solh Wellness.

    IndiaAI Mission Also Scaling Computing Infrastructure

    The IndiaAI Mission has been expanding its computing infrastructure in tandem with model development. Abhishek Singh, CEO of the IndiaAI Mission, recently stated that in order to promote research and innovation, the government is attempting to install 38,000 GPUs at reasonable prices throughout the nation.

    Additionally, 600 data laboratories will be established nationwide as part of the initiative. With the assistance of cloud and data service providers like Yotta Data Services and NxtGen Cloud Technologies, India had already deployed over 17,300 GPUs as of June 2025.

    IndiaAI Mission Also Offering Cost Effective Options

    Nearly 3,850 additional GPUs, including NVIDIA H100 units and Google’s sixth-generation Trillium TPUs, have now been added through a third round of tenders. Additionally, the government has been lowering prices; compute power is now available for as little as INR 65 per hour.

    The IndiaAI Mission, which was approved by the Union Cabinet in March 2024 and would cost INR 10,372 Cr over five years, aims to strengthen the nation’s AI ecosystem by providing universities, research institutes, and businesses with access to state-of-the-art computing capacity.

    AI Governance Framework by 28 September

    Additionally, according to Vaishnaw, by September 28, the Ministry of Electronics and IT (MeitY) will publish an AI governance framework that would describe checks and balances and safety restrictions to protect civilians from AI harm. He stated that the Ministry was collaborating with the Ministry of External Affairs to determine the list of invitees for the AI Impact Summit, including whether to invite nations like China that did not attend previous summits in the UK, South Korea, and France.

    The Promotion and Regulation of Online Gaming Act, which outlaws all online money games, will go into effect on October 1st, the Minister further stated.

    Quick
    Shots

    •Tech Mahindra, Fractal Analytics,
    Avataar AI, Zeinteiq Aitech, Genloop, NeuroDX, Shodh AI, and IIT Bombay’s
    BharatGen Selected for IndiaAI Mission.

    •IIT Bombay developing a
    trillion-parameter model with INR 988.6 Cr funding.

    •Sarvam AI, Gnani.ai, and Gan AI
    chosen earlier; models reportedly progressing well.

    •Govt targets 38,000 GPUs for
    research, already deployed 17,300 as of June 2025.