The government is considering preferring Indian data centre companies to manage the operations of graphics processing units (GPUs) procured under the Rs 10,372 crore India AI Mission, according to insiders. Abhishek Singh, Additional Secretary at the Ministry of Electronics and IT, disclosed at the Global India AI Summit that Rs 4,000 to Rs 5,000 crore will be allocated for GPUs.
Currently, GPUs are a rare commodity produced by a few American companies like Nvidia, Intel, and AMD. Indian data centres could acquire these GPUs and offer them to local firms, start-ups, academics, and researchers at subsidized rates, officials suggested.
The government is in discussions with Nvidia, Intel, and AMD to understand the supply dynamics of these advanced computing resources.
Additionally, international firms interested in the tender to manage these GPUs might need to establish operations in India and ensure that data processing remains within the country. The much-anticipated request for proposal (RFP) is expected to be released soon. Officials are exploring the best methods to subsidize GPU operations, including maintenance and upgrades.
The Ministry of Electronics and Information Technology, the nodal agency for the India AI Mission, may also provide viability gap funding for GPU procurement. Initially, the plan is to procure a limited number of GPUs, focusing on specific areas before expanding. The goal is to start small, using GPUs for targeted research and innovation in critical sectors before broadening their availability. A public-private partnership (PPP) model is preferred.
Indian data centre companies procuring these GPUs may need to provide client details, the nature of their work, and potential outcomes of any research and innovation facilitated by the GPUs.