OpenAI, led by CEO Sam Altman, announced on August 22, 2025, that it will open its first Indian office in New Delhi later this year, marking a major step in its expansion into India’s booming AI sector. The move aims to deepen partnerships with government, businesses, and academia, and comes as India becomes OpenAI’s second-largest market, with ChatGPT usage quadrupling in the past year. The company is actively hiring local talent and plans to tailor products and features for Indian users, signaling a strong commitment to building “AI for India, and with India.”

OpenAI’s Strategic Expansion into India

OpenAI’s decision to establish a presence in New Delhi is driven by India’s rapid adoption of AI and its status as the world’s second-largest internet and smartphone market after China. The new office will serve as a hub for building relationships with local partners, government agencies, businesses, developers, and academic institutions. OpenAI’s recent hiring of Pragya Mishra (former Truecaller and Meta executive) as public policy and partnerships lead, and Rishi Jaitly (former Twitter India head) as senior advisor, underscores its intent to engage deeply with Indian stakeholders and policy makers.

Why New Delhi?

The choice of New Delhi over tech-centric cities like Bengaluru has sparked debate on social media, with many questioning the rationale behind bypassing India’s “Silicon Valley.” Some speculate that proximity to government decision-makers was a key factor, reflecting OpenAI’s focus on policy and regulatory collaboration. As one user remarked, “The only reason to have an office in Delhi is to lobby the government; there’s no tech talent in Delhi. Sus.” However, others celebrated the move, highlighting Delhi’s strategic importance for national-level partnerships.

India’s AI Boom and OpenAI’s Local Initiatives

India’s AI sector is experiencing explosive growth, with ChatGPT users increasing fourfold in the last year. OpenAI recently launched ChatGPT Go, a low-cost subscription plan tailored for Indian users at ₹399/month, offering more features than the free version. The company is also planning its first education summit and a “Developer Day” in India, aiming to nurture local talent and foster innovation.

Key drivers for OpenAI’s India push:

Massive user base: India is now the second-largest market for ChatGPT after the US.
Government support: The IndiaAI Mission is building a trusted and inclusive AI ecosystem, with strong backing from the Ministry of Electronics and Information Technology.
Competitive landscape: OpenAI faces competition from Google’s Gemini and Perplexity, both offering advanced AI plans free to Indian users.

Table: OpenAI’s India Expansion vs. Competitors

Market Positioning and Offerings

Company	India Office	Localized Plans	Key Partnerships	User Base Growth	Notable Hires
OpenAI	Yes (2025)	ChatGPT Go	IndiaAI Mission	4x in past year	Pragya Mishra, Rishi Jaitly
Google	No	Gemini Free	NA	NA	NA
Perplexity	No	Free Advanced	NA	NA	NA

Government and Industry Reaction

Indian officials have welcomed OpenAI’s entry. Ashwini Vaishnaw, Union Minister for Electronics and IT, stated, “OpenAI’s decision reflects India’s growing leadership in digital innovation and AI adoption. We welcome OpenAI’s partnership in advancing this vision to ensure the benefits of AI reach every citizen.”

Frequently Asked Questions

Will OpenAI’s New Delhi office offer local language support for its products? OpenAI is expected to develop features tailored for Indian users, likely including expanded local language support.
How will OpenAI’s presence impact AI startups in India? OpenAI’s entry could spur collaboration, competition, and investment, benefiting the broader AI startup ecosystem.
Is OpenAI planning research collaborations with Indian universities? The company aims to build relationships with academic institutions, suggesting future research partnerships.
Will ChatGPT Go remain exclusive to India? ChatGPT Go is currently India-specific, but similar localized plans may be considered for other markets.
What roles is OpenAI hiring for in India? OpenAI is recruiting for policy, partnerships, engineering, and developer relations to build a strong local team.

Key Takeaways

OpenAI’s launch of its first Indian office in New Delhi marks a pivotal moment for the country’s AI landscape, promising deeper collaboration with government, industry, and academia. As India’s digital economy surges, OpenAI’s commitment to local innovation and talent development could accelerate the nation’s leadership in global AI. Stakeholders should watch for new partnerships, products, and opportunities as OpenAI integrates into India’s vibrant tech ecosystem.