Government to Set Up 543 AI Labs in Tier-2 and Tier-3 Cities as 62 Ministries Identify 762 AI Use CasesAI
29 Jul 2026, 5:41 pm (3 hours ago)· 0

Government to Set Up 543 AI Labs in Tier-2 and Tier-3 Cities as 62 Ministries Identify 762 AI Use Cases

Under the India AI Mission, 543 Data and AI labs will be set up in ITI and polytechnic institutes across Tier-2 and Tier-3 cities. Additionally, 58 AI Centres of Excellence have been approved to streamline governance, boost cybersecurity, and train youth.

In a major effort to modernize administrative processes and enhance public service delivery across the nation, the central government has authorized the establishment of 58 AI Centres of Excellence under the India AI Mission. Alongside these flagship centers, a network of 543 Data and AI labs is being rolled out across various regions of the country. These laboratories will be located primarily in Tier-2 and Tier-3 cities, situated within Industrial Training Institutes (ITIs) and polytechnic colleges. This nationwide initiative is structured to provide young learners in smaller towns with direct access to high-quality training in artificial intelligence and data science. To integrate technology deeply into governance, 62 central ministries have identified 762 distinct operational tasks for AI deployment. Implementing these tailored AI solutions is expected to significantly accelerate administrative workflows while maintaining complete operational transparency.

Reforming Competitive Exams, Cybersecurity, and Public Healthcare

The scope of artificial intelligence applications is being broadened across key public sectors to address complex administrative challenges. In national competitive assessments, such as the Union Public Service Commission (UPSC) examinations, AI technology is being introduced to eliminate fraudulent practices and impersonation. An advanced Face Authentication System is being deployed to verify candidate identities securely. Similarly, the National Cyber Crime Portal is integrating AI capability to automatically flag, categorize, and perform accurate technical analysis on incoming cybercrime complaints. Comprehensive technological upgrades are also underway in healthcare governance. AI systems will assist in expediting claim settlements under the Ayushman Bharat PM Jan Arogya Yojana. Furthermore, advanced AI tools will be extensively utilized for early detection, screening, and treatment planning for cancer patients across medical institutions.

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Skill Building in Smaller Cities, Student Fellowships, and Indigenous Models

A core focus of the India AI Mission remains the empowerment of youth residing in Tier-2 and Tier-3 urban centers. By setting up state-of-the-art technological laboratories within local educational setups, students will gain practical exposure to next-generation digital tools without having to migrate to metro cities. To build a robust pipeline of skilled professionals in the field, fellowships have already been awarded to 686 students spanning 178 educational institutions. Simultaneously, financial backing and infrastructural resources are being channeled to domestic startups and research institutions to encourage the creation of indigenous AI models. This targeted investment in domestic talent and research infrastructure is anticipated to generate substantial high-skill employment opportunities across the tech sector.

Data Privacy Safeguards, Protection Frameworks, and Safety Governance

As AI deployment expands across government frameworks, data safety and personal privacy have been made central priorities. The implementation of the Digital Personal Data Protection Act ensures that citizens' private information remains safeguarded under strict legal guidelines. Complementing this legal framework, the government is establishing the India AI Safety Institute to continuously monitor AI deployments, assess potential technological risks, and enforce safety protocols. Addressing the parliament on these developments, Minister of State Jitin Prasada emphasized in the Lok Sabha that, in line with the Prime Minister's vision, the ultimate objective of the government is to make artificial intelligence accessible and beneficial to every citizen.

Questions & Answers

How many new labs and Centres of Excellence are being set up under the India AI Mission?
Under the mission, 543 Data and AI labs and 58 AI Centres of Excellence have been approved for establishment.
How will youth in smaller towns benefit from this initiative?
Students in Tier-2 and Tier-3 cities will receive specialized training in cutting-edge technologies like artificial intelligence and data science through local ITI and polytechnic institutes.
How will AI be utilized across central government ministries?
A total of 62 ministries have identified 762 specific tasks where AI-based solutions will be developed to enhance efficiency and transparency.
What role will AI play in UPSC exams and cybersecurity?
AI will power a Face Authentication System to prevent fraud in UPSC exams, while the National Cyber Crime Portal will use AI to identify and analyze cybercrime complaints.
How will data privacy and security be ensured during AI deployment?
Data privacy will be protected under the Digital Personal Data Protection Act, supported by the newly formed India AI Safety Institute to monitor potential risks.

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