OpenAI Expands Its Footprint: India Emerges as Second Largest Market Amidst Altman's Visit

Sam Altman lands in India to forge stronger ties after the Asian country emerges as OpenAI's second-largest market.

Feb 7, 2025
OpenAI Expands Its Footprint: India Emerges as Second Largest Market Amidst Altman's Visit
Sam Altman

According to reports, OpenAI CEO Sam Altman is currently in India for a visit, emphasizing the importance of India as the company's second-largest market. This is massive news, considering that OpenAI's user base in India has doubled over the past year.

Stronger Ties Amidst India's AI Growth 

During this visit, Altman met with India's Minister of Information Technology, Ashwini Vaishnaw, and is expected to do the same with Prime Minister Modi. OpenAI hosted a discussion, with Altman using the platform to praise India's potential in the AI sector. "India should be one of the leaders in the AI revolution. It is impressive to see India's progress in areas such as chips, models, and applications," he stated. 

Referring to the cost of developing AI models, Altman noted that staying at the technological forefront would continue to rise while the cost per unit of intelligence could decrease tenfold each year. On his part, Minister Vaishnaw emphasized that India can develop cost-effective AI models. He also stressed India's willingness to collaborate with OpenAI in the areas of GPUs, models, and applications.

A Push to Market Leadership 

With the growing attention on China and AI advancements from companies like DeepSeek, any advantage is welcome. The Chinese AI lab has achieved performance comparable to OpenAI, and even surpassed it on the Apple App Store, all at lower cost. This sparked industry discussions and some observers believe that part of Altman's tour is in response to the market impact created by DeepSeek. 

The fact that this is Altman's second visit to India since June 2023, points to some changes in the AI market race. In previous comments last year, he suggested that other companies would find it difficult to develop products similar to ChatGPT. That has changed, with Altman adopting a more open and positive attitude towards India's and Asia's AI development. His open stance indicates an adjustment in OpenAI's global market strategy.