Just in: LTIMindtree names Venugopal Lambu as CEO designate

One quick thing: Tata Electronics acquires 60% stake in Pegatron India 

In today’s newsletter:

• Ashwini Vaishnaw wants India to lead in AI services
• Groww taps bankers for $1B IPO
• Indian IT firms downplay H-1B impact

Was this newsletter forwarded to you? You can sign up for Tech3 here

The debate on whether India should develop its own AI foundational model or applications may finally see a logical conclusion.

Minister for electronics and information technology Ashwini Vaishnaw, in an interview to us, said that India should take a leadership role in AI services, akin to how it became a leader in IT services industry.

• Vaishnaw said that the value of foundational models lay in creating solutions for different sectors

However, Vaishnaw confirmed that the government has plans to develop one.

"So, the layers are the AI chip, the model, the applications, the agents which come over it," he said.

The government is currently working on getting the GPU design with IP rights owned by India

Meanwhile, Vaishnaw also said that the US viewed India as a trusted partner.

He was responding to a question on how India perceived Trump's second term as the president.

"In that world where India is seen as a trusted partner, I think the relationship going forward which is built upon this trust will be win-win for both," he said. 

The minister also touched upon the Digital Personal Data Protection Rules and said that the industry well received its provisions.

• On the cross-border data transfer provisions, the minister emphasised on the role of "trust" for free transfer of personal data beyond the country's borders

 Safety will continue to be the big ticket item for the Indian Railways' capital expenditure spending in 2025-26, Vaishnaw who also holds the Railway portfolio said.

• Our capital expenditure on safety was about Rs 1.8 lakh crore and that is going to continue in FY26

Dig deeper

Groww-ing up, step by step…

The leading stockbroker and investment platform is gearing up for a blockbuster IPO, valued at over $1 billion, with plans to kick off next week.

• Five investment banking heavyweights—Kotak Mahindra Capital, JP Morgan, Axis Capital, Citi, and Motilal Oswal— have been brought on board to steer the process

Draft documents are expected by April-May, with the listing anticipated by late 2025 or early FY26.

“With multiple investors onboard, the deal is expected to be largely an offer for sale, along with a primary component,” sources told us.

Initial targets place Groww’s valuation between $7-8 billion, with banks proposing a potential upside of $10 billion based on market conditions.

• However, market regulator Sebi’s move to curb F&O trading (which contributes to revenue of stock broking firms) needs to be watched out

Founders are reportedly focused on ensuring investors see strong post-IPO gains, leaving ample “value on the table.”

Backed by the likes of Peak XV Partners, Tiger Global, Ribbit Capital, and Microsoft CEO Satya Nadella, the stockbroker’s last fundraise of $251 million in 2021 valued it at $3 billion.

• The company has managed to surpass and create a comfortable lead over its peers Zerodha and Angel One, at 1.32 crore active client base by December. 

The consolidated operating profit rose 17% to Rs 535 crore in FY24 on doubled revenue of 3,145 crore. 

Dig deeper

Visa dependency? “Nah, we’ve got local muscle!”

India’s top 5 IT companies—TCS, Infosys, HCLTech, Wipro, and Tech Mahindra—now rely on H-1B visas for only 20% to less than 50% of their workforce in the US.

• These IT giants are increasingly hiring local talent to wade through the uncertainty around US visa policies, especially under the Trump administration’s shifting immigration stance

What makes it interesting is the fact that Indian-origin IT companies were major players in the H-1B visa sponsorship space, securing nearly 20% of the total approved visas in 2024.

TCS applies for 3,000-4,000 H-1B visas annually, with 50% of its US workforce comprised of local employees.

• Similarly, over 60% of Infosys employees are now US locals
  
  
• HCLTech and Wipro report that 80% of their US teams are locally hired
  
  
• Tech Mahindra has only 30% of its US workforce on such visas

TCS CEO K Krithivasan, along with all his counterparts in the top 5 IT companies, said their visa dependency has declined over the years.

Despite declining dependency, H-1B visa demand remains strong due to digital transformation and a persistent STEM skill gap.

• Staffing firms predict a positive trajectory for 2025, but approval rates will remain a key metric to watch

Indian IT firms, however, seem eager to balance local hiring with visa needs, ensuring their US operations remain untouched in the relatively uncertain demand environment in which they are operating.

Dig deeper

Samantha Prabhu, Rakul Preet Singh, Riteish Deshmukh. This isn't the starcast of an upcoming movie but the team owners of India's first pickleball league.  

• Pickleball is a blockbuster among celebrities who are not only playing the game but also putting money where their ‘bat’ is 

Indians are acing the sport, fuelling the launch of more star-studded leagues and that is giving players more opportunities to take up pickleball as a full-time career. 

Find out more

• OpenAI has unveiled Operator, an AI agent that can autonomously navigate the web, interact with websites, and complete user-defined tasks.
  
  
• US President Donald Trump signed an executive order on AI aimed at removing past government policies that hinder American AI innovation and ensuring systems are free from ideological bias or social agendas.

Looking for something to spice up your weekend binge?

First up, dive into the world of Hisaab Barabar, a sharp and witty social drama. 

• Follow Radhe Mohan Sharma, an honest railway ticket inspector, as he uncovers a massive financial scam after noticing some strange discrepancies in his bank account. Watch it on Zee5

Next, step into the magical world of ‘Barroz’, a visually stunning fantasy action adventure directed by Malayalam superstar Mohanlal in his directorial debut

• The film follows a 400-year-old guardian and his quest to protect Vasco da Gama's treasure Watch it on Disney+Hotstar

Note: By subscribing to Tech3 you have already made the right choice. Top it up with a premium offering, the Moneycontrol Pro Panorama, newsletter that gives you a sharp take on macros, markets, business and finance. Sign up for Pro from this link to get this newsletter in your inbox and also a host of content enjoyed by over a million subscribers.