American AI (artificial intelligence) companies Meta Platforms (META) and OpenAI are eyeing India’s Reliance Industries (IN:RELIANCE) to strengthen presence in the Asian nation. The news was first reported by The Information, citing people familiar with the matter. The report suggested that both the companies have held separate talks about a potential partnership with the Mukesh Ambani-led conglomerate to launch their AI models in India.
An alliance between Meta or Microsoft (MSFT) backed OpenAI with Reliance could mark a strategic shift in India’s AI market, with the potential to offer advanced AI tools to businesses and consumers.
Meta and OpenAI Are Keen to Enter the Indian AI Market
OpenAI’s executives are reportedly exploring a possible product and sales alliance with Reliance. OpenAI hopes to strike a deal with Reliance Jio, its broadband and telecommunications unit, to distribute its popular ChatGPT models and other AI solutions. Reliance is said to be considering offering ChatGPT to its enterprise customers through an API (Application Programming Interface).
Reliance is also considering whether it should host and run the OpenAI models locally to retain all personal customer data within India itself. Furthermore, the report mentions the possibility of OpenAI drastically reducing ChatGPT Plus monthly subscription prices in the country. However, the report does not clarify if Reliance Industries is aware of the potential price reductions.
Meanwhile, details about Meta’s discussions with Reliance remain unknown at the moment. Nevertheless, a partnership with Reliance Industries could potentially open India’s still-nascent AI market to the tech giant. The two companies’ discussions with Reliance hinge on the Indian conglomerate’s vision to build the world’s largest data center in the country. Reliance is planning to build a 3GW (gigawatt) data center in Jamnagar, Gujarat. The project is expected to be powered entirely by green energy, in line with Reliance’s larger sustainability and digital expansion initiatives.
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