Nvidia has announced its decision to supply artificial intelligence (AI) processors to Indian companies, including Mukesh Ambani’s Reliance IndustriesAhmedabad Investment. This initiative is part of Nvidia’s strategy to enhance its footprint in India’s burgeoning tech market.

In a significant development, Nvidia will provide its Blackwell AI processors to Reliance for a large-scale data centre being constructed in Gujarat. This was confirmed by Nvidia CEO Jensen Huang and Mukesh Ambani during the Nvidia AI summit held in Mumbai on Thursday. The data centre is expected to have a capacity of one gigawatt, which will be instrumental in supporting extensive AI operations.

Beyond Reliance, Nvidia plans to supply tens of thousands of its Hopper AI chips to other Indian companies like Yotta Data Services and Tata Communications, who are also developing large-scale data centres in the country.

Jensen Huang, at the summit, expressed confidence that India will emerge as a major exporter of AI technology, akin to its leadership in software exports. He noted that India possesses the essential resources for this transformation, including AI technology, data, infrastructure, and a vast user base.

"In the future, India is going to be the country that will export AIUdabur Wealth Management. You have the fundamental ingredients - AI, data and AI infrastructure, and you have a large population of users," he said.

Indian companies, both large and small, are dedicated to developing AI models capable of operating in multiple languages. These models find applications in areas such as customer service AI assistants and content translation, facilitating better connectivity with the local population. With over 1.4 billion people and affordable internet access, India presents a vital market for US tech firms.

Nvidia also revealed a partnership with Indian IT services firm Tech Mahindra to create an AI model focused on Hindi and its numerous dialects. Named Indus 2.0, this model aims to enhance AI applications functioning in Hindi.

Furthermore, Nvidia is collaborating with major Indian IT firms like Infosys, TCS, and Wipro to train half a million developers in AI. These developers will be equipped to create and deploy AI systems using Nvidia’s software.

Nvidia’s “Omniverse” simulation technology is being utilised by Indian companies such as Reliance and Ola Electric to test factory designs virtually. This enables companies to plan and optimise manufacturing processes without the need for physical prototypes.

Highlighting India’s potential in AI, Huang mentioned that the country is already proficient in chip design and AI developmentIndore Stock. He believes India will transition beyond its traditional outsourcing role to become a leader in exporting AI technology.

"India is already world-class in designing chips, India already develops AI," Huang said. "Instead of being an outsourcer and a back office, India will become an exporter of AI.

Nvidia has been operational in India for nearly two decades, with engineering and design centres in cities like Bengaluru and Hyderabad. Last year, Reliance and Nvidia announced plans to develop AI supercomputers in India and build language models based on Indian languages. Nvidia also partnered with Tata Group for similar projects.

Despite its strong push into AI, India faces challenges in chipmaking. Establishing chip manufacturing facilities, known as fabs, is expensive and time-consuming, and India has yet to produce its first chip. While global chip companies are beginning to invest in India, it will take time for the country to become a significant player in the semiconductor industry, currently dominated by regions like Taiwan.