India’s Path to Sovereign AI Innovation

India is currently navigating a significant phase in its technological evolution, particularly in defining its strategy towards artificial intelligence. During the press Conclave 2025, Rahul Kanwal, Executive Director of Startup Superb, engaged in a conversation with Puneet Chandok, President of Microsoft India & South Asia, and Nitin Mittal, Principal and Global AI & Emerging Markets Leader at Deloitte. The panel was titled “Age of Acceleration: Man Versus Machine”, yet the topic of discussion predominantly revolved around “Sovereign AI”.

Debating Sovereign AI Capabilities

The conversation between Mittal and Chandok explored whether India should concentrate on establishing its own sovereign AI capabilities, which would encompass the development of its own large language models (LLMs), or if it should capitalise on existing global AI solutions. The discussion was set against the backdrop of China’s swift advancements in AI technology, highlighting both India’s goals and the challenges it faces.

China’s Progress in AI Innovation

The discourse examined the reasons behind China’s seemingly faster progress in AI. Nitin Mittal recognised India’s strengths in “applying technology” and fostering a “dynamic IT services sector,” but he noted that China has greater emphasis on “product innovation.” He proposed that this focus facilitates China’s breakthroughs, such as the commendable “DeepSeek” model.

While acknowledging that India requires a stronger “product research perspective,” Mittal expressed optimism, stating that Indian achievements in AI are “inevitable.” He emphasised that in the rapidly evolving AI landscape, “we’re talking about innovation happening within weeks and days.” Puneet Chandok contributed to the discussion by underlining the aspect of efficiency, posing questions like, “can we create these models… with reduced expenditure and less energy consumption?”

Call for Sovereign AI Capability

Regarding the concept of “Sovereign AI,” Mittal fervently supported the need for developing sovereign capabilities, asserting, “AI encompasses the manufacturing of intelligence… That constitutes your sovereign infrastructure.” He cautioned that without this, India might find itself lacking the essential means to produce “the digital product of today, which is intelligence.”

Future Outlook for Sovereign LLMs

Despite the persuasive arguments presented, the timelines for India achieving sovereign LLMs remain unspecified. Mittal acknowledged the unpredictability of this journey, mentioning the necessity for “entrepreneurship,” “investment,” “computing,” and “engineering expertise” to come together.

The Conclave’s dialogue underscored India’s ambition to secure a prominent role in the AI sector. Whether India opts to invest in sovereign LLMs or adopts a more pragmatic focus on application and efficiency, these decisions will shape its AI identity and position within the global tech landscape. The discussion underscored a critical point: for India, the venture into AI has only just begun.