Infosys co-founder Nandan Nilekani has warned that large AI companies could become rent-seekers if countries do not build their own AI capacity. He spoke at a technology event this week.

Nilekani said a handful of global firms control the computing power and models that everyone else depends on. Without local alternatives, he said, nations could end up paying a permanent toll for AI services.

He urged India to invest in sovereign AI infrastructure under the IndiaAI mission. The goal, he said, should be affordable AI tools built on Indian data and languages.

The comments come as governments worldwide debate how to regulate artificial intelligence. India has positioned itself as a voice for developing nations in AI governance talks.

Nilekani co-founded Infosys and later led India’s Aadhaar identity programme. He has long argued that digital public infrastructure should remain open and affordable.

India has launched the IndiaAI mission with public funding for computing infrastructure and startup support. The government wants Indian-language models that local businesses can afford to use.