By the end of the year, India, along with the United States, will be preparing a roadmap to be drawn up for the soft and hard AI infrastructure. The move is designed to attract data center investment and enhance access to computing power for AI development. This may lead to increased deployment of US-origin AI infrastructure in India, said a joint statement.
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India and US to Develop AI Infrastructure Roadmap by 2025, Boost Data Center Investments
The US-India TRUST (Transforming the Relationship Utilizing Strategic Technology) initiative was launched by Prime Minister Narendra Modi and US President Donald Trump with an aim for cooperation between government, academia, and private industries. The initiative includes areas at the center of these efforts, such as artificial intelligence, semiconductors, quantum computing, biotechnology, energy, and space. It also emphasizes using verified technology vendors while ensuring the protection of sensitive technologies.
Under this collaboration, both leaders committed to collaborating with the private sector in India and the USA to diagnose the impediments to financing, building, and powering large-scale AI infrastructure in India. The initiative maps key milestones and paths forward to tackle these challenges. The countries will work together on industry partnerships and investments in next-generation data centers, AI computing resources, and the development of AI models, according to the joint statement. The purpose is to promote innovation while addressing necessary protections and lowering regulatory roadblocks.
The announcement follows India’s planned procurement of nearly 19,000 graphics processing units (GPUs), for which startups and researchers can get subsidized access. On the other side of the ocean, the US is no different: OpenAI, SoftBank, Oracle, Microsoft, and Nvidia are pouring money into AI infrastructure — the Stargate Project is likely to need $500 billion over four years. It also comes on the heels of DeepSeek, a Chinese open-source AI model that has shaken the industry by taking on OpenAI for such a small fraction of the price.
Also, it prompts questions about Biden-era AI hardware export rules, which restrict India from using US-made GPUs. The policy places India in a middle-tier classification, capping AI chip imports unless hosted in secure environments. However, it remains unclear whether President Trump will uphold these restrictions. The two leaders also committed to building resilient supply chains for semiconductors, critical minerals, and pharmaceuticals, supporting investments in Indian manufacturing capacity and reducing risks of medicine shortages.
