How AI, Cloud Sovereignty, and Cybersecurity are Transforming Governance and Public Services "What we're trying to build isn't just an AI infrastructure—it's a collaborative ecosystem. Government sets the direction and enables access. Private players bring innovation. That's the model we need for the decade ahead," Abhishek Singh Additional Secretary and CEO India AI Mission

As India navigates the next frontier of its digital journey, the country's focus is turning from infrastructure creation to intelligent transformation—leveraging AI, cloud sovereignty, and cybersecurity not just as tools, but as pillars of nation-building.

India's digital public infrastructure—comprising Aadhaar, UPI, DigiLocker, and over 4,000 online services—has enabled mass-scale access to essential government services. But today, the focus is shifting towards enhancing this infrastructure with AI-driven, multilingual, and real-time service delivery models.

"There are more than a billion transactions happening on DPI daily," noted Abhishek Singh, Additional Secretary, MeitY and CEO of India AI Mission. "But now, with AI, we can go a step further—enabling voice-based services that respond to unstructured queries in any Indian language. Imagine a farmer asking a question in his local dialect and getting an accurate health or crop advisory—that's where the power of AI truly comes in."

Singh emphasised that India's diversity demands inclusive design. With Natural Language Processing (NLP) and Generative AI, public services could soon become far more accessible, even for citizens with limited digital literacy.

To accelerate India's shift from infrastructure to intelligence, companies such as Tata Consultancy Services (TCS) are stepping forward. Recently, they launched a suite of digital solutions aimed at supporting India's push for greater self-reliance in technology, particularly in cloud computing and artificial intelligence. Among the offerings introduced were TCS SovereignSecure Cloud™, an indigenous cloud service built to support public sector institutions and regulated industries; TCS DigiBOLT™, a low-code AI-driven platform; and an expanded rollout of its TCS Cyber Defence Suite.

Accelerating trade with intelligence

India's customs operations are undergoing a transformation aimed at reducing clearance time for consignments from 72 hours to just one. The key lies in intelligent automation, real-time risk profiling, and deep integration with various government bodies like FSSAI and the Textile Ministry.

"The next big thing we're working on is Customs One," said Neeraj Kansal, Principal Additional Director General, CBIC Systems. "It's a future where clearances happen before goods even land. That's only possible if you have advanced AI models doing real-time document validation and risk assessments."

He explained how AI will be used to analyse uploaded documents, ensuring that uploads like invoices or certifications are genuine.

"Right now, someone can upload a mobile bill instead of a shipping document, and there's no system check. With AI and OCR, we'll flag that instantly. This isn't about automation for the sake of it—it's about reducing delays and making trade frictionless."

Kansal also underlined the security concerns that come with such digitisation. "We've moved to Zero Trust Network Access—meaning no one, not even internal actors, is assumed to be safe. Cybersecurity is no longer an add-on; it's built into every step of the transformation."

Redefining banking with agentic AI

In the financial sector, artificial intelligence (AI) has already become embedded in everyday operations, particularly in decision-making, risk analysis, and fraud detection. But the shift ahead involves something more radical: agentic AI systems that could eventually redefine the very architecture of banking.

"We've been using AI/ML models for years now, but what's coming next is different," said Nitin Chugh, Deputy MD and Head of Digital Banking at State Bank of India. "Agentic AI will move from the backend to the front—replacing traditional APIs, maybe even redefining how core banking works."

He added,"Imagine a future where a bank's core system is not a software platform, but a set of intelligent agents making decisions based on context, protocols, and customer behaviour in real time. That's not far-fetched."

But with growing AI adoption comes responsibility. "We follow a board-approved ethical AI framework. But it has to go beyond paperwork. Alerts and decisions need to happen while a transaction is still in motion. So, we're working on automating those guardrails, ensuring responsible AI isn't just a compliance measure—it's a design principle."

A new model for sovereign cloud

Cloud sovereignty has become a critical topic in India's digital governance agenda. But the state isn't rushing to build massive infrastructure. Instead, it's creating an ecosystem where access to compute is democratised—letting private players invest in infrastructure while the government enables affordable access.

"When the GPU race began, we had two options—set up our own data centres or create a platform for access," said Abhishek Singh. "Government procurement cycles can't keep up with GPU tech that changes every six months. So we decided not to own the infrastructure—but to subsidise it."

Through India AI's Compute initiative, over 14,000 GPUs are now accessible to researchers and startups at subsidised rates—INR 67 per GPU per hour, significantly lower than global market prices.

"Our goal is to ensure that access to AI infrastructure isn't a privilege—it's a public utility," Singh said.

Data: from burden to strategic asset

Traditionally seen as a burden, data is now being reframed as an essential asset—fuel for AI and a strategic input for public policy. AI is enabling systems to convert static, underutilised datasets into dynamic tools for decision-making.

"Earlier, we thought data was a liability. Today, it's an enabler of intelligent systems," said Neeraj Kansal. "We're even working on systems that profile passengers before they land in India, so customs dues can be paid in advance—making the whole process touchless and intelligent."

He added that the eventual aim is total paperlessness, achieved not just through digitisation, but through pre-emptive, AI-led governance.

Building through partnerships, not silos

A strong thread throughout the discussion was the importance of partnerships—across public, private, and not-for-profit sectors. India's digital story, particularly with platforms like UPI, has been shaped through such collaboration, and the same approach is now being applied to AI and sovereign cloud.

"TCS has been a part of projects like MCA21 and Passport Seva from the start," Singh recalled. "But this time, it's not just about execution—it's about innovation. We need private players to lead in building foundational models, designing applications, and even curating datasets."

Singh emphasised agility over ownership,"What we're trying to build isn't just an AI infrastructure—it's a collaborative ecosystem. Government sets the direction and enables access. Private players bring innovation. That's the model we need for the decade ahead."

The conversation made it clear that India's digital leap is no longer about catching up—it's about setting global benchmarks in inclusive and intelligent governance. Whether it's reducing cargo clearance to an hour, enabling voice-based public services in regional languages, or reimagining banking through AI agents—the foundation is being laid for a system that is secure, sovereign, and citizen-first.

As Nitin Chugh noted, "It's not just about replacing old tech stacks—it's about redefining the business itself."

The speakers shared their inputs at the TCS Accelerating India Event.