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India is exploring fresh talks with the United States to relax the Joe Biden-era cap on GPU (Graphics Processing Unit) imports, sources have told CNBC-TV18. The move comes in the wake of US Senator JD Vance’s visit to India, which is believed to have opened new diplomatic channels for easing technology-related restrictions. The US had imposed an annual cap of 50,000 GPUs on India in January 2025, just before then President Joe Biden left office.
These chips are essential for powering artificial intelligence (AI) models and building data centres, both central to India’s ambitious AI mission. This cap was seen as a setback to the country’s efforts to scale AI infrastructure. Under the AI Mission, the Indian government is aiming to make over 33,000 GPUs available.
Initially, 18,693 GPUs were to be sourced through empanelled companies, with 14,000 already made available in Round 1. Jio Platforms and Tata Communications were among the firms selected in this round. The government is also planning to invite bids for an additional 15,000 GPUs by the end of April, significantly boosting the domestic AI ecosystem.
In parallel, India is expected to finalise the first batch of applicants to develop indigenous Large Language Models (LLMs) and Small Language Models (SLMs)—a key step in building self-reliant AI capabilities. This is also expected to be done by April end..
