Why tech giants are offering premium AI tools to millions of Indians for free

Nov 8, 2025 | AI

Beginning this week, millions of users across India are slated to receive a full year of complimentary access to ChatGPT’s newly unveiled “Go” AI chatbot. This iteration of the artificial intelligence tool, designed to be low-cost, will be provided to them free of charge for the next 12 months.

This latest move aligns with strategies recently adopted by technology leaders Google and Perplexity AI. In recent weeks, both companies forged partnerships with local Indian mobile carriers, offering subscribers a year or more of complimentary access to their advanced artificial intelligence platforms.

In a significant development for India’s mobile sector, Perplexity has announced a partnership with Airtel, the nation’s second-largest mobile network operator. Simultaneously, tech giant Google has joined forces with Reliance Jio, India’s dominant telephony provider, to bundle complimentary or discounted artificial intelligence tools directly into its monthly data packages.

Industry analysts are quick to point out that what might appear as acts of generosity are, in reality, shrewdly calculated investments. These initiatives, they assert, represent a strategic, long-term wager on the burgeoning potential of India’s digital future.

Counterpoint Research analyst Tarun Pathak disclosed to the BBC a strategic approach for generative AI in India: first, cultivate widespread user engagement and reliance, then transition to a paid model.

According to Mr. Pathak, India’s primary appeal lies in its immense market scale and burgeoning young demographic. He highlighted that while other major markets, such as China, may boast a comparable user base, China’s tightly regulated technological environment significantly restricts foreign access for businesses.

In contrast, India presents an expansive and fiercely competitive digital market. This vibrant ecosystem is proving a significant magnet for global technology firms, which are eagerly enlisting millions of new users to train and refine their artificial intelligence models.

Here are a few options for paraphrasing the text, maintaining a clear, journalistic tone:

**Option 1 (Direct and common):**
“OpenAI, Perplexity, and Google all declined to comment on the BBC’s inquiries.”

**Option 2 (Emphasizing the effort):**
“Despite attempts to reach them for comment, OpenAI, Perplexity, and Google did not issue a statement to the BBC.”

**Option 3 (Focus on lack of response):**
“When approached by the BBC for comment, OpenAI, Perplexity, and Google offered no immediate response.”

**Option 4 (Concise):**
“The BBC’s requests for comment from OpenAI, Perplexity, and Google went unanswered.”

India’s digital landscape is characterized by a colossal online community, boasting over 900 million internet users. This expansive reach is significantly underpinned by the nation’s remarkably low data costs, which are among the cheapest globally. A striking demographic feature of this user base is its youthfulness, with most individuals falling under the age of 24. This generation of digital natives seamlessly integrates smartphones into every aspect of their lives, from professional pursuits to social engagement and everyday living.

A significant strategic opportunity is emerging for tech companies in India: the bundling of artificial intelligence tools with data packages. This initiative is particularly potent given India’s exceptional data consumption rates, which dramatically outpace global averages. As Indian users increasingly engage with these integrated platforms, companies stand to gain unprecedented access to a wealth of first-hand proprietary data.

India’s profound diversity is setting the stage for the development of artificial intelligence applications that will serve as critical global case studies, according to Mr. Pathak. He asserted that the unique AI solutions emerging from the nation will provide invaluable insights for countries worldwide.

Here are a few options, maintaining a clear, journalistic tone:

**Option 1 (Concise):**
“The effectiveness and sophistication of artificial intelligence models, especially generative AI systems, are directly enhanced by the acquisition of unique, first-hand data.”

**Option 2 (Emphasizing impact):**
“AI models achieve superior performance and greater refinement when processing an abundance of unique, directly sourced data, a principle particularly crucial for advanced generative AI systems.”

**Option 3 (Focus on quality):**
“To truly elevate the capabilities of AI, particularly in generative applications, developers must prioritize gathering exclusive, proprietary datasets collected directly from primary sources.”

While offering clear strategic advantages for AI companies, the widespread provision of free services is triggering significant questions from consumers. The primary concern revolves around the profound implications for user data privacy.

The willingness of most users to share personal data in exchange for convenience or complimentary services is a long-standing trend expected to continue, according to Delhi-based technology writer and analyst Prasanto K Roy.

However, he maintained that government intervention would be imperative at this juncture.

Mr. Roy asserts that an escalation in regulatory oversight is inevitable as authorities grapple with the pervasive challenge of individuals freely surrendering their personal data.

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