cover image: Competition in India

Competition in India

6 Jan 2025

Key themes include the role of major cloud providers in shaping the AI ecosystem, the complexities of open-source models, the expanding network of partnerships between global technology companies, AI startups, and domestic IT incumbents, and the creation of new dependencies. [...] By examining both the technological and market structures of AI as well as the strategic behaviours of leading firms, this study contributes to a deeper understanding of the competitive landscape in AI and the implications of current trajectories and policy decisions for future innovation and economic development. [...] It is estimated that startups in the model layer accounted for around 77% of global funding in Generative AI, with the bulk of the investments secured by OpenAI, Anthropic and Inflection.30 Of the 398 foundational models tracked by the Stanford CRFM’s Ecosystem Graphs, around 63.56% of them are open-source models, 21.35% of them are closed-source and 14.82% of them have limited access. [...] Indian AI Startup Trends By the end of 2023, India emerged as a significant player in the global AI startup ecosystem, ranking seventh in both private AI investments, amounting to USD 9.85 billion, and the number of newly funded AI companies, at 45.51 The adoption rate of AI globally is 55%, higher than the adoption rate of GenAI (33%) in 2023. [...] Emerging Partnerships of Big Tech across the AI Stack Dominant players in markets of the AI value chain have formed various strategic partnerships among themselves and with other players in the AI stack to leverage synergies and expand their portfolio of offerings.

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Pages
77
Published in
India

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