Mumbai-based edtech company upGrad has announced the launch of its AI incubator, ‘upGrad AI Incubator,’ aimed at supporting homegrown artificial intelligence startups. With an initial allocation of INR 100 crore, the company plans to invest in five to six startups in the coming months.
The incubator is designed to foster product innovation by providing startups with essential resources, including infrastructure and seed capital. As part of this initiative, upGrad has made its first investment in a Bengaluru-based AI startup, though financial details of the deal remain undisclosed.
This move follows upGrad’s recent agreement with the Maharashtra government to establish AI excellence centres across the state, committing an initial investment of INR 2,150 crore ($248.82 million). The company has also strengthened its leadership team by appointing new executives to oversee enterprise delivery and sales operations in key international markets.
Since its inception in 2015, upGrad has expanded its offerings to include online and hybrid skilling programmes, certifications, and executive education in collaboration with top Indian and global universities. The company also provides corporate skilling and recruitment solutions across multiple international markets, including the UK, US, Middle East, India, Singapore, and Vietnam.
India’s AI sector is experiencing rapid growth, with both central and state governments actively promoting AI innovation. The Maharashtra government is formulating a new AI policy to position itself at the forefront of this technological revolution, while the central government has received over 60 proposals from AI startups for developing indigenous AI foundational models.
