India’s technology story in 2026 is increasingly about infrastructure as much as innovation. Major global players are investing in the physical backbone that AI depends on — from undersea cables to data centres — positioning India as a key hub in the region’s digital economy.
One notable example is a new undersea cable consortium connecting India with Malaysia and Singapore, backed by global technology and telecom players, aimed at supporting the growing demand for AI, cloud and data-centre capacity across Asia. Analysts note that connectivity, power supply and regional cloud capacity are becoming just as strategic as the AI models themselves.
Domestically, large IT firms have been setting up dedicated AI engineering labs in cities like Bengaluru to accelerate adoption of industrial and physical AI across manufacturing and mobility. Commentators increasingly describe India’s AI moment as being about large-scale deployment — bringing AI tools into everyday back-office, healthcare, agriculture and governance workflows — rather than only about inventing new foundational models.
With the government continuing to expand GPU access and platforms like the AIKosh datasets hub, the coming months are expected to bring more announcements around AI-enabled public services, skilling programmes and industry partnerships.
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