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Tech Mahindra, Zeintech and 6 Other Firms to Get Incentives to Develop Foundational AI Models

Written by: Team Angel OneUpdated on: 19 Sept 2025, 5:59 pm IST
8 Indian firms have been selected under the India AI Mission’s second batch, receiving incentives to build indigenous foundational AI models.
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India has taken another decisive step in its artificial intelligence journey with the announcement of the second cohort of companies under the India AI Mission, as per the news reports. 

8 firms have been chosen to build foundational AI models, reinforcing the government’s ambition to nurture indigenous capabilities while ensuring regulatory frameworks like the Digital Personal Data Protection Act are swiftly implemented.

Firms Selected In The New Cohort

Electronics and IT Minister Ashwini Vaishnaw confirmed the names of the eight beneficiaries: Avataar.ai, Bharatgen, Fractal Analytics, Tech Mahindra, Zeintech, Genloop Intelligence, NeuroDX, and Shodh AI. These firms will gain support to accelerate their work on AI systems rooted in India’s unique context. 

Vaishnaw also highlighted that administrative rules under the Digital Personal Data Protection Act will be released within the next 10 days, aligning the policy framework with ongoing AI initiatives.

Building On The First Cohort

This announcement builds on the earlier selection of Sarvam, SoketAI, Gan AI, and Gnani AI under the first batch of the programme. According to Vaishnaw, these startups are advancing rapidly and are expected to showcase their models at the India AI Impact Summit scheduled for February. Together, both batches underline India’s focus on developing sovereign AI models that match global standards while reflecting domestic priorities.

Read More: IBM and BharatGen Team Up To Develop India-Centric Sovereign AI Models!

Conclusion

The inclusion of eight new firms in the second cohort marks a significant expansion of the India AI Mission, signalling the government’s intent to create a thriving ecosystem of local players in the AI space. With regulatory clarity and incentives in place, India is positioning itself as a global hub for responsible and innovative AI development.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.

Published on: Sep 19, 2025, 12:14 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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