In a strategic move to capture India’s burgeoning digital market, leading artificial intelligence (AI) companies such as OpenAI, Google, and Perplexity AI have partnered with Indian telecom giants to offer free or subsidized access to their AI tools. Starting this week, millions of Indian users will gain one year of complimentary access to ChatGPT’s new low-cost ‘Go’ chatbot. Similarly, Perplexity AI has teamed up with Airtel, India’s second-largest mobile network provider, while Google has partnered with Reliance Jio, the country’s largest telecom operator, to bundle AI services with monthly data plans. Analysts view these initiatives not as acts of generosity but as calculated investments aimed at securing a foothold in India’s rapidly expanding digital ecosystem. Tarun Pathak, an analyst at Counterpoint Research, emphasized that the strategy is to familiarize Indians with generative AI before transitioning to paid models. India’s vast and youthful internet user base, exceeding 900 million, presents a unique opportunity for AI companies to gather diverse data and refine their models. However, this approach raises concerns about data privacy and the lack of robust AI-specific regulations in India. While the Digital Personal Data Protection Act (DPDP) 2023 offers broad protections, its implementation remains pending, leaving gaps in addressing AI accountability. Experts argue that India must strike a balance between fostering innovation and safeguarding user data, especially as global AI companies leverage the country’s flexible regulatory environment to scale their offerings. As the AI landscape evolves, the focus will be on ensuring that India’s digital growth aligns with ethical and transparent practices.