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Indigenous AI, critical tech vital for defence: Survey

Says reliance on multinational companies for AI-based solutions could leave India vulnerable to geopolitical shifts

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Stressing the need for self-reliance, the Economic Survey on Friday highlighted the importance of developing indigenous artificial intelligence programmes for defence. It called for addressing “critical vulnerabilities with high strategic urgency”, including in critical defence technologies.

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The survey said reliance on multinational companies for AI-based solutions could leave India vulnerable to geopolitical shifts, potentially constraining future diplomatic choices. Just as critical minerals and semiconductors have been used to shape foreign policy, AI capabilities and resources could similarly be leveraged in geostrategic negotiations.

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It also called for enabling computation to occur locally to ensure secure deployment in sensitive sectors such as defence and critical infrastructure.

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Elaborating on the need to address “critical vulnerabilities with high strategic urgency”, the survey said the top tier includes goods, components and technologies where denial of access would impose immediate and asymmetric national costs, and where global supply is highly concentrated.

“Typical examples include defence-critical systems, core infrastructure inputs, energy security components, public health essentials and foundational industrial technologies,” it said, adding that the objective should be assured availability under stress, not short-term efficiency.

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The survey highlighted the work of the Council of Scientific and Industrial Research (CSIR) in applied innovation, including successful test flights of solar-powered high-altitude pseudo satellites (HAPS) capable of long-endurance flight for border security.

It also noted indigenous developments in UAV propulsion engines, kamikaze drones and partnerships with Bharat Electronics Limited for sensor systems as evidence of growing linkages between public research and national defence capability.

CSIR-NAL’s technology transfer for commercial production of the indigenously designed trainer aircraft HANSA-3 NG was cited as another milestone, marking the first time a homegrown civil aircraft platform is moving into commercial manufacturing.

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