Gujarat to Launch Indian AI Research Organisation in 2026

Gujarat is poised to launch the Indian AI Research Organisation (IAIRO) on January 1, 2026, marking a significant advancement in the country's artificial intelligence ecosystem. This initiative, approved by Chief Minister Bhupendra Patel, will operate under a Public-Private Partnership model, involving collaboration between the state government, the Central government, and the Indian Pharmaceutical Alliance. With a budget of Rs 300 crore for the first five years, IAIRO aims to drive AI research, product development, and foster partnerships across various sectors. The establishment of an AI Task Force further emphasizes the state's commitment to leveraging AI for sustainable development and enhancing quality of life.

By Narendra Chaudhary Dec 30, 2025, 16:43 IST

Gujarat's Initiative for AI Advancement

Gandhinagar, Dec 30: In a significant step towards enhancing India's artificial intelligence (AI) landscape, Gujarat is set to launch the Indian AI Research Organisation (IAIRO) on January 1, 2026, through a Public-Private Partnership (PPP) model. Chief Minister Bhupendra Patel has given preliminary approval for this initiative, positioning Gujarat as the first state in India to create such an institution via a PPP framework.

This initiative aligns with Prime Minister Narendra Modi's vision and aims to propel AI research and development, thereby accelerating the nation's progress in emerging technologies. The establishment of IAIRO will involve a collaborative effort between the Government of Gujarat, the Central Government, and the Indian Pharmaceutical Alliance (IPA).

The organisation will be formed as a Special Purpose Vehicle (SPV) located in GIFT City and will be registered as a non-profit entity under Section 8 of the Companies Act, 2013. An estimated budget of approximately Rs 300 crore has been allocated for the initial five years, with equal funding contributions of 33.33 percent from the state government, the Central government, and the private sector partner.

The Indian Pharmaceutical Alliance will serve as the primary private partner, contributing Rs 25 crore in the fiscal year 2025-26. The IPA represents around 23 prominent pharmaceutical companies. This initiative is in line with the IndiaAI Mission of the Ministry of Electronics and Information Technology and Gujarat's AI Action Plan under the State Science and Technology Department.

To further promote the application of AI for sustainable development and enhanced quality of life, the state government has also established an AI Task Force under the Chief Minister's guidance.

IAIRO is envisioned as a multidisciplinary center focusing on advanced AI research and development, the creation of AI-driven products and solutions, and fostering collaboration among academia, industry, startups, and government entities. Its objectives will also encompass intellectual property development, capacity building, and policy-oriented research.

The organisation will utilize a hybrid computing model, integrating on-premise GPU infrastructure with national platforms like the IndiaAI Cloud.

Through this initiative, Gujarat aims to cultivate a skilled, future-ready AI workforce, enhance India's global standing in artificial intelligence, and further solidify the state's role as a leading center for innovation and emerging technologies.