In January 2025, U.S. President Donald Trump announced a $500 billion investment to enhance AI infrastructure in the U.S., involving OpenAI and other major tech firms.

Altman's visit comes shortly after a tour of several countries, including Germany and Japan, demonstrating OpenAI's global engagement strategy.

OpenAI is currently facing legal challenges in India related to copyright claims, but maintains that it only utilizes publicly available data.

DeepSeek's AI model, R1, has recently surpassed ChatGPT as the top-ranked free app on Apple's App Store, indicating a shift in market dynamics.

OpenAI has tripled its user base in India over the past year, showcasing the country's potential in AI development across various levels, including chips and applications.

Sam Altman, CEO of OpenAI, is visiting India this week to meet with Prime Minister Narendra Modi and Union Minister Ashwini Vaishnaw, marking his second trip to the country in two years.

This visit aligns with India's ambitious IndiaAI Mission, which has received a government allocation of Rs 10,371 crore over five years to enhance computing infrastructure and support AI initiatives.

The Indian government is enhancing its AI capabilities by developing a domestic 'foundational model' to compete with global leaders like ChatGPT and DeepSeek.

S. Krishnan, Secretary of the Ministry of Electronics and Information Technology, emphasized that India's AI development will focus on open-source foundations to ensure data sovereignty and security.

To address data privacy concerns, Krishnan proposed that AI applications be hosted on Indian servers to maintain local control over sensitive information.

Discussing data privacy, he expressed worries about sensitive information being transmitted to foreign servers when using AI applications.

Altman praised India's comprehensive approach to AI, noting its advancements in building an entire AI stack, which could position the country as a significant player in the global AI landscape.