Foreign diplomats and business leaders from the United Kingdom, Europe and other countries are preparing to expand their artificial intelligence operations in India, viewing the country’s vast datasets, market scale and policy openness as a rare strategic opportunity to build globally competitive AI systems and generate long-term profits.
During interactions held alongside a diplomatic reception hosted by the UK High Commission in India, Lindy Cameron at her New Delhi residence on Thursday to showcase UK’s AI potential, foreign officials, trade representatives and business executives said India has emerged as one of the most important geographies for AI investment following the government’s push to position the country as a major artificial intelligence hub.
The event was held on the sidelines of the India AI Impact Summit that began on 16 February and ended on 21 February.
A European diplomat, who attended the gathering, said his visit to India for this summit has led to the conclusion that India’s scale and data ecosystem provide advantages that are difficult to replicate elsewhere. “The sheer volume and diversity of data available in India is extraordinary. AI systems improve through real-world use, and India offers companies the opportunity to build, test and refine their technologies at scale. That makes it a very attractive destination,” the diplomat said.
Similarly, business executives believe that India’s rapidly expanding digital infrastructure, including financial transactions, public services and online platforms, generate continuous streams of data essential for training artificial intelligence systems. A UK-based technology executive said India is increasingly seen as a foundational development hub rather than just a consumer market.
“You have a massive user base, continuous data generation and a highly skilled workforce. Combined with the government’s openness to AI investment that we witnessed in the last few days, it has created a strong environment for companies to establish themselves and grow. Once companies build their capabilities here, they can expand globally,” he said. As per the understanding of foreign business representatives, companies that establish early operations in India would gain long-term strategic and commercial advantages.
“India represents a long-term growth opportunity. Companies that invest now can build strong market positions and develop systems that can later be deployed internationally,” a New Delhi based representative of a European company told this newspaper.
Diplomatic officials said India’s policy direction and willingness to engage with foreign governments and businesses have strengthened investor confidence. “There is a clear sense that India is open to collaboration and investment in artificial intelligence, and that creates confidence among companies to commit long-term resources,” a foreign diplomat who did not want to be quoted, stated.
In her address, Cameron emphasised India’s growing influence in shaping the global future of artificial intelligence and welcomed deeper cooperation between international partners and India. “How India approaches AI matters to the world,” she said, highlighting India’s importance as a key partner in global technology development.
Kanishka Narayan, the United Kingdom’s minister responsible for artificial intelligence and digital government, also highlighted the significance of India’s role, saying he was excited about the shared mission between the two countries to use artificial intelligence to drive economic growth and prosperity.
Foreign officials and business leaders believe that India is not only going to be a major market but will also emerge as a strategic base where artificial intelligence technologies can be built, refined and scaled for global deployment, reflecting the country’s emergence as one of the most important destinations for AI investment and expansion.
