“If India Has $50 Billion to Spend…”: Nandan Nilekani Advocates AI Infrastructure Over Foundation Models

Infosys co-founder Nandan Nilekani has reiterated his stance that India should focus on developing AI infrastructure and compute capabilities rather than investing heavily in creating its own foundation models, such as those developed by OpenAI or Meta. His comments come in response to recent statements made by Manish Gupta, Director of Google Research India, sparking a broader debate on India’s role in the global AI ecosystem.

Nilekani’s Perspective: Prioritize Infrastructure Over Models

Speaking to the media, Nilekani outlined why investing in foundation models may not be the best strategy for India, particularly given the substantial financial and computational resources required.

“Foundation models are not the best use of your money. If India has $50 billion to spend, it should use that to build compute, infrastructure, and AI cloud. These are the raw materials and engines of this game,” he said.

Instead, Nilekani advocates leveraging existing large language models (LLMs) to create AI solutions tailored to India’s specific needs, such as healthcare, education, and governance.

Manish Gupta’s Counterpoint: Build the Foundations

At the Bengaluru Tech Summit, Manish Gupta offered a contrasting view, arguing that India should not limit itself to using pre-built AI models and should aim to develop its own foundational AI systems.

Gupta referenced Nilekani’s own approach during the creation of Aadhaar, saying:

“He revolutionized India’s technology landscape by starting with the basics. With Aadhaar, he didn’t start with use cases; he started with building foundations. We too must build foundations, using our constraints as ingredients for innovation.”

The Larger Debate

Foundation models, while groundbreaking, require billions of dollars in funding and immense computational resources for training on vast datasets. Nilekani believes such an approach may not align with India’s current priorities, emphasizing that AI infrastructure can act as a foundational pillar for innovation across industries.

On the other hand, proponents like Gupta see the creation of foundational AI systems as an opportunity for India to assert itself as a leader in global AI innovation.

This debate reflects the growing urgency for India to define its AI strategy as it navigates challenges like resource allocation, global competition, and the need to address local socio-economic problems through technology.

Stay tuned for further updates and insights into India’s AI landscape.