The Tamil Nadu government has entered into a Memorandum of Understanding (MoU) with Sarvam AI to create Sovereign AI Park in Chennai.

The initiative, with a starting investment of Rs 10,000 crore, will create 1,000 high-skilled, deep-tech positions and signifies a crucial move towards establishing a strong and inclusive AI ecosystem focused on public interest, as per reports.

Reports indicate that the Sovereign AI Park will be the first purpose-built district in India, featuring AI computing infrastructure, secure data systems, research labs for models, AI innovation hubs, and a specialized Institute for AI in Governance. It can function as a complete system where data, models, and computation stay within the State’s trust boundary, guaranteeing a sovereign, ethical, and inclusive environment for the deployment of AI systems

“This demonstrates our strategic commitment to not only adopt but also shape the future of artificial intelligence from a people-first, state-led perspective, while enabling companies and startups that are pioneering the technology. With this unprecedented initiative, Tamil Nadu will lead the nation in the scaled deployment of AI. The deployment can be across key sectors like education, agriculture, healthcare and citizen engagement,” Tamil Nadu Industries Minister T R B Rajaa says.

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The Sovereign AI park aims to develop foundational Tamil-first AI models that link classical vocabulary with modern use-cases, thereby embedding culture and context into every layer of digital intelligence. These efforts will ensure that the next generation of AI systems in Tamil Nadu are inclusive, accurate, and locally rooted.

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“This partnership is about building AI that is trained, deployed, and governed in Tamil Nadu, for the world. By bringing together compute, researchers, startups, enterprises, and government under one Sovereign AI Park, Sarvam AI, along with the Tamil Nadu Government, is set to create the conditions for intelligence to move from experimentation to real-world impact at national scale,” says Pratyush Kumar, Co-founder - Sarvam AI.

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“Artificial intelligence will define the next generation of jobs just as manufacturing and IT defined the last. By anchoring sovereign AI infrastructure and frontier research in Tamil Nadu, students and researchers from the State will be enabled to become global creators of AI, not just consumers. This initiative aims to turn Tamil Nadu’s talent strength into long-term economic leadership,” says Prof. V. Kamakoti, Director, IIT Madras.