The Rise of Indian AI: How Local Companies are Taking on Global Tech Giants

The market for chatbots based on large language models (LLMs) is growing rapidly, with technology giants like Google, Microsoft-backed Open AI, and Meta expanding their services. A key element of their expansion strategy is localized AI chatbots that support languages of a particular country. For instance, Google recently extended its Gemini app in India with support for nine Indian languages: Hindi, Bengali, Gujarati, Kannada, Malayalam, Marathi, Tamil, Telugu, and Urdu.

Supporting local languages is crucial for AI adoption in India

However, this presents a field of opportunity for Indian artificial intelligence companies. Being local is their advantage against global tech giants in the race to build large language models. Indian companies like TCS, Infosys, and Wipro are already seeing salary bills surge even as revenue growth slows, indicating a shift towards investing in AI research and development.

“ChatGPT ain’t intelligence. They are just predictive statistics. It is a search engine overdosed with steroids, and it may not provide the most accurate answers.” - A critic of LLMs

But how do LLMs really fare when it comes to complex situations? A recent experiment in China put seven large language models, including OpenAI’s ChatGPT-4o, to the test by making them ‘sit’ China’s notoriously difficult college entrance exam. While they did relatively well in the English and Chinese language tests, each one failed the math paper. This highlights the limitations of LLMs in understanding complex reasoning, a key ability if they are to be used in finance and other vital areas.

LLMs have much room to improve their math skills

Despite these limitations, the potential of LLMs is vast. They can be used to improve productivity and collaboration, as seen in the case of personal computers. They can also be used to counter cyber frauds that hurt organizations. As AI use in farming is set to be presented in the Parliamentary session, it is clear that the Indian government is taking steps to harness the power of AI.

AI use in farming is set to be presented in the Parliamentary session

In conclusion, the rise of Indian AI is an opportunity for local companies to take on global tech giants. While LLMs have their limitations, they have the potential to revolutionize various industries. As the Indian government continues to invest in AI research and development, it will be interesting to see how Indian companies capitalize on this opportunity.

The rise of Indian AI is an opportunity for local companies to take on global tech giants