Wed, Dec 31, 2025
The Gujarat government has given in-principle approval for the establishment of the Indian AI Research Organisation (IAIRO) in GIFT City through a public–private partnership (PPP) model, with operations scheduled to begin from January 1, 2026.
IAIRO, which will function as a special purpose vehicle (SPV), will be set up through a tripartite partnership involving the Central government, the Gujarat government, and the Indian Pharmaceutical Alliance (IPA).
IAIRO will be incorporated as a non-profit institution under Section 8 of the Companies Act, 2013. For the initial five-year period, an estimated ₹300 crore budget has been earmarked, with equal contributions of 33.33% each from the Centre, the State, and the private partner.
The IPA will serve as the anchor private partner for IAIRO. It has committed ₹25 crore for the financial year 2025-26. The IPA represents 23 leading pharmaceutical companies, including Cipla, Torrent Pharmaceuticals, and Sun Pharma.
This initiative aligns with the IndiaAI Mission under the Ministry of Electronics and Information Technology, as well as the Gujarat government’s AI Action Plan formulated by the Science and Technology Department. The State has already constituted an AI Task Force to promote the use of AI in sectors such as healthcare, education, agriculture, and public services. In this context, IAIRO is envisioned as a multidisciplinary hub for AI.
The core activities of IAIRO will include advanced AI research and development, creation of AI-based products and solutions, and fostering collaboration among academic institutions, industry, startups, and government agencies. The organisation will also focus on intellectual property (IP) creation, capacity building, and policy-oriented research.
IAIRO will operate on a hybrid computing model, combining on-premise GPU infrastructure with integration of national platforms such as the IndiaAI Cloud, enabling scalable and high-performance AI research and deployment.