Nvidia explores partnership with India for custom AI chip development

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A hot potato: India has made its intentions clear to invest heavily in AI technology and high-performance computing infrastructure. Authorities in New Delhi may even sponsor a direct partnership with Nvidia, one of the few companies profiting in the new AI gold rush, to jointly develop specialized silicon.

Nvidia has approached the Indian government to explore the development of a new AI chip tailored to the local technology market. According to a report from The Economic Times, Nvidia founder Jensen Huang proposed the project to leverage India’s highly skilled workforce in chip design.

Huang is scheduled to speak at the upcoming Nvidia AI Summit India on October 24, where he is expected to announce the partnership with Indian authorities. Ashwini Vaishnaw, India’s Minister for Electronics and IT, has reportedly confirmed the discussions, stating that talks with Nvidia about the AI chip are still in the preliminary stages.

The Economic Times claims the new chip would be designed for India’s specific tech needs, supporting existing infrastructure like the Indian Railways’ security system, Kavach. The technology could also be used to assist government agencies, startups, and local companies looking to adopt AI.

India doesn’t have a history of manufacturing highly advanced chips like Taiwan’s TSMC, Intel, or other leading foundry companies. However, according to a recent study by the Boston Consulting Group, the country is home to 19 percent of the world’s chip design talent. Nvidia founder Jensen Huang recently praised India as the home of some of the “greatest computer scientists,” and expressed interest in partnering with New Delhi to capitalize on the growing AI industry.

“This is India’s moment. You have to seize the opportunity,” Nvidia’s CEO said after speculating about AI’s supposed ability to democratize computing. The new jointly developed chip is expected to mix Nvidia’s core design, which will likely be an Arm-based SoC, and a customized “top layer” designed by Indian engineers.

An unnamed Indian official said India and Germany are the only two countries capable of organizing such a complex chip design partnership with Nvidia. New Delhi recently approved a massive investment to boost its IndiaAI mission, with public subsidies aimed at funding a powerful new supercomputer and fostering the development of a fully Indian AI ecosystem from the ground up.

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