India is advancing foundational AI model development under the IndiaAI Mission, with government backing new indigenous platforms like Avataar.ai’s Varya, aiming to boost affordable video generation, innovation, and global competitiveness in artificial intelligence ecosystem sector.
India is stepping up its efforts to develop homegrown foundational artificial intelligence (AI) technologies under the IndiaAI Mission, with senior government leadership asserting that the country is well-positioned to compete globally in advanced AI development. The statement comes amid the unveiling of a new indigenous video generation model by startup Avataar.ai, highlighting India’s growing focus on generative AI capabilities.
Speaking at the launch event, Electronics and IT Secretary S Krishnan said that government-supported initiatives are actively fostering the development of multiple foundational AI systems across different applications, not limited to language-based models. He emphasized that such breakthroughs demonstrate India’s ability to build cutting-edge AI solutions domestically and challenge perceptions about the country’s technological limitations.
India strengthens indigenous AI ecosystem
The newly introduced video AI platform, Varya, has been developed by Avataar.ai under the IndiaAI Mission. The model is designed to make video creation more accessible, efficient, and affordable for users by enabling content generation through simple text prompts along with image and video inputs.

Users can upload raw footage or photos and generate edited video outputs by providing descriptive instructions. The system aims to significantly simplify traditional video production processes, reducing dependence on complex editing tools and specialized technical skills.
According to industry officials, the initiative reflects a broader national strategy to strengthen domestic AI capabilities and reduce reliance on external technologies while expanding innovation within the digital content ecosystem.
Focus on efficiency, cost reduction and new market opportunities
Avataar.ai co-founder and chief executive Sravanth Aluru highlighted that the Varya platform delivers substantial gains in both speed and cost efficiency. He noted that users can generate a 211-second video for approximately ₹100, positioning the tool as a highly cost-effective solution for creators, enterprises, and digital marketers.

The company also claims that its AI system streamlines the video creation process by compressing multiple production stages into a simplified workflow. It reportedly reduces turnaround time and operational complexity while leveraging a large-scale model architecture with billions of parameters to enhance output quality and consistency.
Aluru added that affordability and efficiency could unlock entirely new user segments, particularly those who previously avoided video production due to high costs or technical barriers. He also stressed that AI tools are intended to complement human creativity by automating repetitive tasks while preserving creative control and originality.
Expanding role of AI in creative industries
Experts suggest that such developments could reshape India’s digital content landscape by enabling broader participation in video creation and reducing entry barriers for small businesses and individual creators. The shift is expected to drive new use cases in marketing, education, entertainment, and enterprise communication.
Industry observers further believe that India’s continued investment in AI infrastructure and model development reflects its ambition to become a global hub for scalable and responsible AI innovation. As government support and private sector participation grow, the country is expected to deepen its role in the evolving generative AI ecosystem while building technologies tailored to local and global markets.
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