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OpenAI, Meta In Talks With Reliance For AI Partnerships: Report

OpenAI, Meta In Talks With Reliance For AI Partnerships: Report

  • 22.03.2025 19:05
  • inc42.com
  • Keywords: dangerous, dangerous

OpenAI and Meta are in talks with Reliance to partner on AI distribution and sales, potentially involving Jio for product sales and API access. Discussions also include using Reliance’s data centers to host OpenAI and Meta models locally in India.

Meta ServicesMeta ReportsMeta NewsMETAsentiment_satisfied

Estimated market influence

OpenAI

Positivesentiment_satisfied
Analyst rating: N/A

Partnership discussions with Reliance for AI distribution and sales.

Meta

Meta

Positivesentiment_satisfied
Analyst rating: Strong buy

Exploring AI partnerships with Reliance.

Reliance Industries Limited (RIL)

Positivesentiment_satisfied
Analyst rating: N/A

Potential collaboration with OpenAI and Meta for AI distribution, data centers, and local model hosting.

Context

Business Insights and Market Implications

Potential Partnerships

  • OpenAI is in talks with Reliance Jio for distributing AI offerings, including ChatGPT.
  • Reliance may sell OpenAI models to enterprise customers via API, though Microsoft holds exclusive rights to resell OpenAI models.
  • Meta has undisclosed ambitions to collaborate with Reliance on AI businesses.

Data Center and Localisation Discussions

  • Reliance is developing a 3 GW data center in Gujarat’s Jamnagar, which could host OpenAI and Meta’s LLMs.
  • Reliance explored selling data center capacity to OpenAI and Meta.
  • Discussions include running OpenAI models locally to comply with India’s data localisation mandates.

Market Expansion and Strategic Benefits

  • Partnership with Reliance could help OpenAI achieve 1 billion daily active users by end of 2023.
  • Indian market, despite being large, contributes minimally to OpenAI’s revenue due to price sensitivity.
  • OpenAI plans to reduce ChatGPT premium subscription prices for India to “several dollars” from $20/month.

Competitive Landscape and Industry Impact

  • Indian AI startups like SarvamAI and Krutrim are gaining traction with affordable, India-centric AI solutions.
  • The government’s IndiaAI Mission (INR 10,300 Cr) aims to boost the AI startup ecosystem.

Long-Term Effects and Regulatory Considerations

  • Collaboration with Reliance could enable OpenAI and Meta to leverage India’s distribution network for broader market reach.
  • Data localisation mandates may influence how foreign tech companies operate in India.