India’s AI Revolution: PM Modi Launches ₹1 Lakh Crore Fund to Boost Private Sector R&D in Deeptech

Introduction: Paving the Way for India’s AI-Powered Future

In a historic move set to redefine India’s technological landscape, Prime Minister Narendra Modi has launched a ₹1 lakh crore fund to accelerate private sector investment in Research and Development (R&D), with a strong focus on deeptech and artificial intelligence (AI).

Announced during the inauguration of the Ekta Sthapan and Science, Technology, and Innovation Complex (ESTIC), this initiative marks a transformative step in strengthening India’s position as a global AI and innovation powerhouse.

A Bold Vision for Technological Sovereignty

PM Modi emphasized that the new R&D fund is designed to bridge the gap between research, innovation, and commercialization.

The goal is to empower Indian startups, research institutions, and industries to lead the next wave of innovation in AI, semiconductors, quantum computing, and biotechnology—key sectors that define the fourth industrial revolution.

This fund isn’t just financial support—it’s a strategic investment in India’s digital sovereignty.

By boosting private sector-led innovation, India aims to reduce technological dependence on foreign players and cultivate an indigenous deeptech ecosystem that drives both economic growth and national security.

Deeptech: The New Frontier of Innovation

Deeptech—technologies rooted in advanced scientific breakthroughs such as AI, robotics, advanced materials, and quantum computing—holds immense potential to transform industries ranging from healthcare and defense to manufacturing and agriculture.

With the launch of this fund, India is signaling its intent to go beyond surface-level digital transformation and dive deeper into foundational technologies that will shape the global economy in the coming decade.

The initiative will also help startups and innovators gain access to long-term capital, which has traditionally been a barrier for deeptech ventures due to their high R&D costs and long development cycles.

Empowering Startups and Private Enterprises

A major highlight of the initiative is its focus on private sector participation. The fund will offer low-interest loans and financial incentives to encourage startups and enterprises to invest in frontier R&D.

This aligns with India’s broader goal of creating a self-reliant innovation ecosystem, where homegrown companies can compete globally while developing solutions tailored for India’s diverse population.

Moreover, the government plans to work closely with industry leaders, academic institutions, and international partners to create a collaborative innovation network.

This synergy will ensure that the outcomes of deeptech research translate into real-world applications that benefit the economy and society alike.

A Catalyst for India’s AI Leadership

Artificial Intelligence is at the core of this revolution. From AI-driven governance and agriculture optimization to healthcare diagnostics and climate modeling, India’s growing AI ecosystem is already making waves.

The new fund will amplify AI research, enabling the development of scalable models, secure data infrastructure, and ethical AI frameworks.

By supporting AI-focused startups and establishing centers of excellence across states, the government aims to turn India into a global AI hub—a place where innovation meets implementation.

Global Impact: Positioning India on the World Stage

This initiative arrives at a time when nations worldwide are racing to harness AI and deeptech for economic and strategic advantage.

With this fund, India positions itself as a key player in global innovation, ready to collaborate and compete on equal footing with leading tech economies such as the U.S., China, and Japan.

The fund also complements India’s ongoing missions such as Digital India, Make in India, and the National AI Mission, integrating them under a unified vision for “Viksit Bharat 2047”—a developed and digitally empowered India.

Conclusion: Building the Future, One Innovation at a Time

PM Modi’s ₹1 lakh crore deeptech R&D fund represents more than a policy move—it’s a declaration of intent.

It’s about unlocking India’s creative and scientific potential, empowering innovators, and laying the foundation for a future-ready, AI-driven economy.

As India steps into this new era of technological advancement, the world watches closely.

With the right balance of innovation, collaboration, and execution, this initiative could transform India into the global epicenter of AI and deeptech innovation.