Gen AI funding in India rises to $400 million in 2024

FUNDING IN GENERATIVE AI rose to around $400 million last year, from $250 million in 2023, as more AI-enabled applications and platforms found product-market fit within enterprise work flows, a report by Bain & Company and Indian Venture Capital Association said.

- AYANTI BERA

Generative AI is a type of artificial intelligence that uses generative models to create new content such as audio, code, images and text.

The funding includes capital infused in Gen AI-native companies and investment into software and AI-native companies that develop Gen AI. About 70% of this funding was for applications and platforms, driven by a greater supply of quality Gen AI application assets in India, while global funding favoured capital-intensive foundational models, with large deals for players such as OpenAI, Anthropic and X.AI.