OPINION | Indian AI founders scaling globally through US market access

For founders building global AI companies, market maturity matters.

At first glance, the increase in Indian AI founders choosing to operate from the United States may seem troubling. It raises questions about whether India is losing its top talent and whether our ecosystem is faltering at a critical moment in the global AI race.

However, a closer look reveals a more complex and optimistic story.

This shift does not indicate that founders are leaving India. Instead, it shows that they are pursuing markets, ambition, and scale. This trend is not new.

For years, Indian tech companies have catered to global customers. Infosys, one of India's most notable success stories, grew by serving developed markets while relying on Indian talent. That model thrived because it matched ability with demand. The same principle is now evident in AI and SaaS, but it is happening more quickly and on a much larger scale.

Why the US Remains the Primary Market

Let's start with the most important fact: the United States remains the largest and most developed software market in the world.

In 2024 alone, software spending in the US reached approximately USD 368 billion, accounting for more than half of global software spending. This figure is nearly six times higher than that of China and significantly exceeds spending in individual European economies. Simply put, the demand for software, especially for cutting-edge AI products, is unmatched.

For founders building global AI companies, market maturity matters. The US ecosystem moves quickly, adopts early, and pays premium prices for products that deliver clear value. Customers expect high quality and are willing to invest in it.

This combination creates an environment where ambitious startups can test, refine, and scale rapidly.

India’s Structural Differences, Not Weaknesses

India, however, is structured differently. Buyers here tend to be highly cost-conscious. There is often a preference for deep customisation and longer decision-making cycles.

While this approach works well for services and tailored solutions, it can slow down companies aiming to build product-led, globally scalable SaaS businesses. These are structural differences, not failures.

Choosing the US as a launch or scaling market is therefore not a rejection of India. It is a strategic decision based on where demand, investment, and early adopters currently exist.

The Strength of Indian Talent and Global Networks

Importantly, this shift does not mean Indian talent is falling behind. In fact, it highlights the opposite.

Institutions such as the IITs and BITS continue to produce world-class engineers and researchers. When Indian founders succeed on global stages, it reinforces India’s position as a leading source of talent.

There is also a strong ecosystem effect at play. Over the past two decades, many Indian engineers, founders, and investors have relocated to the US. Today, a young Indian AI founder arriving in San Francisco is far less isolated than they would have been twenty years ago.

Their predecessors are already there—building companies, leading teams, providing funding, and opening doors. This community reduces barriers to entry and accelerates the learning curve.

However, not every founder has equal access to these networks. Talent is evenly distributed, but opportunity is not. Many exceptional founders struggle to build the right connections, secure initial support, and access markets when entering a new ecosystem.

This is where structured support becomes essential. Programmes that help founders integrate into global ecosystems, connect them with mentors, customers, and investors, and provide cultural and operational guidance can make the difference between potential and success. These initiatives build bridges, not brain drain.

What India Must Focus On

It is also important to recognise that many founders continue to operate from India while serving global markets. Engineering, research, and innovation often remain based here.

While capital, exposure, and customers may come from abroad, value creation flows back to India through jobs, skills, and eventually reinvested capital.

So, what does India really risk losing?

Not talent, if it continues to be nurtured. Not ambition, if global thinking is encouraged.

The real risk lies in slower local adoption, limited enterprise readiness, and lower risk tolerance. As India’s digital economy grows, there is an opportunity to enable faster procurement cycles, build stronger trust in products, and foster deeper collaboration between startups and large enterprises.

A Phase of Global Expansion

The movement of AI founders to the US should not be viewed as a loss, but as a phase.

This phase enables Indian founders to operate at the highest global standards, build credibility in competitive markets, and eventually bring those insights back into the Indian ecosystem.

Global companies are not built in isolation. They are created by founders who understand multiple markets, cultures, and expectations.

Indian AI founders moving to the US are not abandoning India—they are expanding the canvas on which Indian innovation is built.

And in the long run, that is something to be optimistic about.

(Kushal Bhagia, Founder and Partner at All In Capital.)

Views are personal, and do not represent the stand of this publication.