Linux Foundation Report Finds Open Source Driving India’s AI Growth

February 17, 2026
A new report from the Linux Foundation and Meta shows that 76% of Indian startups use open source AI, with the country’s AI market projected to grow from $6 billion in 2024 to nearly $32 billion by 2031.

The Linux Foundation, in partnership with Meta, released a new report on India’s AI ecosystem, announced in a press release. The study, titled *AI for Economic and Social Good in India: Scaling Inclusive Growth for Entrepreneurs, Creators, and Local Economies*, found that 76% of Indian startups use open source AI tools, helping drive cost-effective innovation and customization.

According to the report, India’s AI market has expanded from $3.2 billion in 2020 to $6 billion in 2024 and is projected to reach nearly $32 billion by 2031. This growth is supported by a strong startup ecosystem, government-led digital infrastructure, and global demand for Indian technical talent. India also has the highest year-over-year AI hiring rate worldwide.

The report highlights how open source AI is enabling localized innovation, with examples such as Adalat AI for courtroom transcription, Farmers for Forests using AI for agroforestry monitoring, and Bhashini and Sarvam AI supporting multilingual digital access. These initiatives show how open source tools are being applied to both economic and social challenges.

Recommendations from the report include expanding workforce development through AI training programs like Skill India Digital Hub, creating a national open source AI strategy, and supporting small and medium businesses in adopting AI technologies. The findings position India as a key player in global AI development, leveraging open source to scale innovation across sectors.

We hope you enjoyed this article.

Consider subscribing to one of our newsletters like Enterprise AI Brief or Daily AI Brief.

Also, consider following us on social media:

Enterprise AI AI Brief AI Brief (X)

More from: Enterprise

02/16
Kyvos Integrates with Claude Cowork for Governed Agentic Analytics on Big Data
02/16
PR Newswire and Stacker Extend Partnership to Expand Earned Media Reach
02/16
Cognizant Expands Partnership with Google Cloud to Scale Agentic AI
02/16
Energy Vault and Peak Energy Partner on Sodium-Ion Storage for AI Data Centers
02/16
Luma AI Opens Riyadh Office and Partners with Publicis Groupe Middle East

Subscribe to Enterprise AI Brief

Weekly report on AI business applications, enterprise software releases, automation tools, and industry implementations.

AI Token Webinar

Whitepaper

Stanford HAI’s 2025 AI Index Reveals Record Growth in AI Capabilities, Investment, and Regulation

The 2025 AI Index by Stanford HAI provides a comprehensive overview of the global state of artificial intelligence, highlighting significant advancements in AI capabilities, investment, and regulation. The report details improvements in AI performance, increased adoption in various sectors, and the growing global optimism towards AI, despite ongoing challenges in reasoning and trust. It serves as a critical resource for policymakers, researchers, and industry leaders to understand AI's rapid evolution and its implications.

Read more

You May Also Like