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Building national strength through data, technology and the pillars of the IndiaAI Mission.
In brief
- Sovereign AI drives productivity, innovation and national competitiveness.
- Countries like India and China are building Sovereign AI capabilities to reduce foreign dependence and strengthen security and resilience.
- Effective Sovereign AI requires domestic infrastructure, data control, skilled talent, legal frameworks and cybersecurity aligned with national priorities.
Sovereign AI refers to a nation’s ability to design, develop and regulate AI systems using domestic infrastructure, national data and an indigenous workforce. It enables technological progress to be aligned with a country’s strategic interests, values and security priorities. For India, Sovereign AI capabilities are essential to safeguard sensitive information, stimulate homegrown innovation and strengthen national resilience in a world increasingly shaped by AI-driven geopolitics.
According to NITI Aayog, AI could contribute nearly US$1.7 trillion to India’s economy by 2035. However, overdependence on foreign platforms creates risks such as data leakage, covert surveillance and technology restrictions. Building Sovereign AI strategies is, therefore, not just a technological ambition but a national imperative.
Key components of Sovereign AI
Developing Sovereign AI requires a coordinated framework built around five key components:
Domestic AI
infrastructure:
Establishing control over
computing resources,
semiconductor
manufacturing, and
national data centers.
Local data
sovereignty:
Ensuring sensitive data in
finance, defense, and
healthcare remains
within national borders.
Indigenous talent:
Building a strong AI
workforce in research,
development, and
governance.
Strategic legal frameworks:
Creating policies that
align technology with
national security and
ethical values.
Cybersecurity readiness:
Building domestic
systems to protect data
from external and
internal threats.
Pillars of the IndiaAI Mission
Addressing current challenges
India’s progress in Sovereign AI capabilities faces hurdles in semiconductor availability, skilled talent retention and fragmented data ecosystems. Addressing these gaps through policy incentives, improved data governance and investment in human capital will be vital to sustain momentum.
Summary
By strengthening the pillars of the IndiaAI Mission and advancing Sovereign AI strategies, India can secure technological independence while setting global benchmarks for ethical and inclusive innovation. The nation’s success will depend on balancing innovation with accountability to create an AI future rooted in trust, transparency and national purpose.
How EY can help
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