OpenAI, the Microsoft-backed creator of ChatGPT, said on Friday it will open its first office in India later this year as the company expands in its second-largest market by user numbers.
The company has registered a legal entity in India and started hiring a local team. “Opening our first office and building a local team is an important first step in our commitment to make advanced AI more accessible across the country and to build AI for India, and with India,” OpenAI Chief Executive Sam Altman said in a statement.
The announcement comes days after OpenAI rolled out its cheapest subscription plan worldwide in India, priced at 399 rupees ($4.60) a month, aimed at tapping into the country’s nearly one billion internet users.
India has become a key growth market for ChatGPT, with the company saying weekly active users have quadrupled over the past year. It also said India accounts for the largest number of student users globally.
OpenAI faces rising competition in India from Google’s Gemini and U.S. startup Perplexity, both of which have introduced free access to advanced AI features to build market share.
The company is also grappling with legal challenges in India, where publishers and news outlets have accused it of using copyrighted content without permission to train ChatGPT. OpenAI has denied wrongdoing.
Analysts say a local presence could help the firm engage with regulators, academic institutions and businesses as India steps up its focus on AI adoption and data governance.
