Gujarat approves Indian AI Research Organisation at GIFT City

Gujarat Chief Minister Bhupendra Patel on Tuesday (December 30, 2025) granted in-principle approval for the establishment of the Indian AI Research Organisation (IAIRO) to strengthen research and development in artificial intelligence.

The proposed facility will be set up under a public-private partnership (PPP) model through a tripartite collaboration involving the State government, the Central government and the Indian Pharmaceutical Alliance (IPA), according to officials.

The initiative was aimed to accelerate India’s AI ecosystem in line with the vision of Prime Minister Narendra Modi and under the guidance of the Chief Minister, they said.

The IAIRO would be operationalised as a special purpose vehicle (SPV) at GIFT City near Gandhinagar from January 1 and would be registered as a non-profit entity under Section 8 of the Companies Act, 2013.

An estimated budget of about ₹300 crore had been earmarked for the first five years of the project, with the State government, the Centre and the private partner each contributing 33.33%, they said.

The IPA has joined the initiative as the anchor private partner and will contribute ₹25 crore in 2025–26. The alliance comprises around 23 leading pharmaceutical companies, including Cipla, Torrent Pharmaceuticals and Sun Pharma.

The project aligns with the objectives of the India AI Mission of the Union Ministry of Electronics and Information Technology, as well as the AI Action Plan of the State government’s Science and Technology Department.

The officials said the State government had also constituted an AI task force to promote sustainable development and improve quality of life through the application of AI in sectors such as healthcare, education and agriculture.

IAIRO is envisioned as a multidisciplinary hub for artificial intelligence, with core activities including advanced research and development, creation of AI-based products and solutions, and fostering collaboration among academic institutions, industry, start-ups and the government.

The organisation will also focus on intellectual property creation, capacity building and policy-oriented research, and will operate under a hybrid compute model integrating on-premise infrastructure.