India has the potential to go beyond replicating China’s DeepSeek AI success and create groundbreaking artificial intelligence (AI) innovations with the right strategic investments, says Prayank Swaroop, partner at leading venture capital firm Accel.

DeepSeek’s emergence has generated global excitement by demonstrating a lower-cost approach to building large language models (LLMs). However, experts have identified limitations in its models, such as basic reasoning flaws, contextual content generation challenges, and political biases, Swaroop pointed out.

“This shows that innovation is not a one-size-fits-all glove for all nations to wear,” he told PTI, emphasizing that India must carve its own AI trajectory rather than merely following global trends.

Swaroop remains optimistic about India’s AI ecosystem, particularly in the post-DeepSeek era. He believes that India, with its strong talent pool and increasing AI investments, can make headlining discoveries in AI, rather than just catching up with global players.

Venture capital firms like Accel are closely watching India’s AI evolution, recognizing its potential to drive innovations that enhance reasoning capabilities, reduce biases, and improve contextual understanding—key areas where current AI models struggle.

As India’s AI sector continues to grow, experts stress that targeted funding, government support, and industry collaboration will be essential to propel the country towards a leadership position in AI innovation.