India is considering a major push to develop indigenous AI for defense, and startup Sarvam and other domestic research institutes are reportedly in advanced talks with the Ministry of Defense to set up a Rs 300-crore center of excellence (CoE). Economic Times coverage.
The discussion comes amid a growing global reliance on AI in conflict zones, from the war in Ukraine to tensions in West Asia.
The proposed facility would be part of a broader effort to reduce dependence on foreign AI technology and strengthen technological sovereignty in sensitive military areas.
Indigenous AI for military use
Under the plan, multiple intelligence units will be set up within the CoE to develop large-scale AI systems tailored to India’s operating environment, including diverse terrain and climate.
According to the report, these systems are expected to support military surveillance, reconnaissance and decision-making.
Growing domestic ecosystem
Founded by Pratyush Kumar and Vivek Raghavan, Sarvam has emerged as a key player in India’s efforts to build a domestic AI ecosystem.
The startup is backed by investors including Lightspeed, Peak XV, and Khosla Ventures, and is reportedly in talks to raise new funding at a valuation of around $1.5 billion.
At the AI Summit in New Delhi earlier this year, the startup unveiled open-source models including Sarvam-30B and Sarvam-105B, along with tools for voice, visual, and enterprise applications tailored to Indian languages.
It has also opted to receive a government subsidy of nearly Rs 220 million from the Ministry of Electronics and IT for the development of the Sovereign AI model.
