OpenAI Opens New Delhi Office to Drive AI Expansion in India

OpenAI has officially announced plans to open its first office in India, signaling a major step in the company’s global expansion strategy. The move comes just days after launching ChatGPT Go, a new affordable subscription plan tailored specifically for Indian users.

The new corporate hub will be based in New Delhi, where OpenAI plans to build a local team dedicated to strengthening ties with Indian partners, businesses, government bodies, developers, and academic institutions. According to the company, the office will open in the coming months, marking a long-term commitment to “AI for India, and with India.”

Why India Matters for OpenAI

India is the world’s second-largest internet and smartphone market. It has over 820 million active internet users. The country also has one of the fastest-growing developer ecosystems. This makes it a natural fit for global AI companies. Tech giants like Google, Meta, and Microsoft are competing here. AI startups like Perplexity are also joining the race. They all aim to capture India’s expanding market.

For OpenAI, establishing a presence in New Delhi is about more than growth—it’s about localization and collaboration. CEO Sam Altman said the company aims to make its tools “relevant for Indian users” by co-creating products with local feedback and building features that address India’s unique needs, from education technology to multilingual AI tools.

Recent Moves by OpenAI in India

The office announcement builds on OpenAI’s growing India focus:

In April 2024, it hired Pragya Mishra, a former Truecaller and Meta executive, as its public policy and partnerships lead in India.
It also brought on Rishi Jaitly, former Twitter India head, as a senior advisor to navigate policy discussions with the Indian government.
This month, OpenAI will host its first Education Summit in India, and later this year, its first Developer Day in the country.

Earlier this week, OpenAI introduced ChatGPT Go at just ₹399 per month (~$4.75), making it the most affordable plan globally. The low-cost tier is designed to appeal to India’s price-sensitive market, where converting free users to paying customers has been a long-standing challenge for tech firms.

Meanwhile, rival Perplexity struck a deal with telecom giant Bharti Airtel, offering 360 million subscribers a year of Perplexity Pro access—intensifying the AI competition in India.

Challenges Ahead for OpenAI

Despite its momentum, OpenAI faces several hurdles in India:

Monetization: Turning India’s huge user base into paying customers remains a challenge.
Business integration: Indian companies have been slower to adopt enterprise AI solutions compared to Western markets.
Legal disputes: In late 2024, Asian News International (ANI) sued OpenAI for allegedly using its news content without permission. A consortium of Indian publishers joined the lawsuit in early 2025.

Still, OpenAI sees a strategic opportunity. India’s government is investing heavily in AI through the IndiaAI Mission, designed to boost local AI research, infrastructure, and talent development. IT Minister Ashwini Vaishnaw welcomed OpenAI’s move, calling it a “significant partnership in building trusted and inclusive AI for every Indian citizen.”

India in the Global AI Landscape

India is becoming a focal point for global AI firms, though strategies differ. OpenAI has chosen New Delhi, while its rival Anthropic prioritized Japan, opening a Tokyo office instead. Nevertheless, with government support, massive user adoption, and world-class tech talent, India is poised to become a major AI innovation hub.

As Altman summed it up:

“India has all the ingredients to become a global AI leader—amazing tech talent, a strong developer ecosystem, and government support.”

FAQs

1. Why is OpenAI opening an office in India?

India is the second-largest internet market, with a fast-growing developer community. OpenAI wants to localize its tools, partner with businesses, and support AI innovation directly in the country.

3. What is ChatGPT Go, and why is it important for India?

ChatGPT Go is a new low-cost subscription plan priced at ₹399/month (~$4.75). It’s designed to make ChatGPT more accessible to India’s price-sensitive market.

4. What challenges does OpenAI face in India?

OpenAI must navigate monetization hurdles, enterprise adoption barriers, and legal disputes with Indian publishers while also competing with rivals like Google, Meta, and Perplexity.

5. How does India fit into OpenAI’s global strategy?

India’s vast user base, AI talent pool, and government initiatives like the IndiaAI Mission make it a crucial market for OpenAI’s long-term growth and global AI leadership.