NEW DELHI (Diya TV) — OpenAI is making a big move into India as it looks to strengthen its presence in one of the world’s fastest-growing technology markets. The artificial intelligence company, best known for its ChatGPT chatbot, announced plans to open its first office in New Delhi and hire a local team to deepen its ties with Indian users, businesses, and policymakers.

The expansion comes just days after OpenAI launched a new subscription plan called ChatGPT Go, priced at ₹399 ($4.75) per month. The plan, designed to be affordable for Indian users, marks the company’s first localized offering in the country. By entering India with both an office and a budget-friendly plan, OpenAI is signaling its intention to compete aggressively with rivals such as Google, Meta, and AI startup Perplexity.

OpenAI said its new office in the capital will open in the coming months. The company has already started recruiting talent to “strengthen relationships with local partners, governments, businesses, developers, and academic institutions.”

The team’s main focus will be to make OpenAI’s products more relevant to Indian users. This includes gathering direct feedback, designing new features for local needs, and working closely with academic and corporate partners across the country.

“Opening our first office and building a local team is an important first step in our commitment to make advanced AI more accessible across the country and to build AI for India, and with India,” OpenAI CEO Sam Altman said in a statement.

In April 2024, OpenAI hired Pragya Misra, a former Meta and Truecaller executive, as its public policy and partnerships lead in India. The company also brought on Rishi Jaitly, former Twitter India head, as a senior advisor to guide conversations with the Indian government.

India is the world’s second-largest internet and smartphone market, after China, with more than 800 million online users. For OpenAI, the country represents both a vast user base and a growing hub of developer talent.

Competitors have already made their moves. Earlier this week, Perplexity partnered with Indian telecom giant Bharti Airtel to give 360 million subscribers access to Perplexity Pro for a year. Google and Meta also continue to push their AI products in the market.

Indian IT Minister Ashwini Vaishnaw welcomed OpenAI’s announcement, saying the partnership aligns with the government’s IndiaAI Mission, which aims to promote trusted and inclusive AI. “OpenAI’s decision to establish a presence in India reflects the country’s growing leadership in digital innovation and AI adoption,” Vaishnaw said.

While India offers massive growth potential, OpenAI faces hurdles in converting free users into paying customers in a price-sensitive market. Subscription services remain a challenge in South Asia, where many users prefer free options.

OpenAI also faces legal and business challenges. Last year, Asian News International sued the company for allegedly using copyrighted news content without permission. A group of Indian publishers joined the case earlier this year, raising questions about content rights and AI training models.

Despite these obstacles, OpenAI is betting big on India. It plans to host its first Education Summit in the country this month and a Developer Day later this year. These events aim to showcase how educators and developers can use AI tools more effectively.

Altman has often praised India’s role in the global AI ecosystem. He believes the country’s strong tech workforce, thriving developer community, and government support position it as a natural hub for AI innovation.

“India has all the ingredients to become a global AI leader — amazing tech talent, a world-class developer ecosystem, and strong government support through the IndiaAI Mission,” Altman said.

OpenAI’s India office will join its existing Asian operations in Japan, Singapore, and South Korea. Rival Anthropic recently chose Japan over India for its first Asian office, citing challenges in building enterprise partnerships in the Indian market.

Even so, OpenAI’s latest moves suggest the company views India as central to its long-term strategy. By offering affordable subscription plans, building local partnerships, and investing in talent, OpenAI hopes to secure a foothold in the country’s booming digital economy. 

For now, the launch of ChatGPT Go and the announcement of its first Indian office signal that OpenAI is ready to compete head-on in one of the most dynamic AI markets in the world.