- By Aditya Pratap Singh
- Thu, 15 Jan 2026 04:25 PM (IST)
- Source:JND
Union Budget 2026: Nations worldwide are moving past their early skepticism and embracing Artificial Intelligence (AI), recognizing its potential to disrupt nearly every field.
Identifying the potential of the newly shaping technology, India entered into the race of AI adoption a few years ago, announcing the 'IndiaAI Mission' in March 2024 with a substantial initial budget of over Rs 10,300 crore.
Building on this foundation, the Budget 2026, which is scheduled to be tabled on February 1, can act as a catalyst with some concrete fund allocation for AI development, and by announcing favourable policies or schemes that can help widespread adoption of artificial intelligence.
Moreover, the budget's significance is heightened by the fact that India is hosting the 'AI Impact Summit' on February 16, a few days after the announcement.
Meanwhile, AI entrepreneurs, startup founders, and experts have put in their demands and expectations from the Budget 2026-27. These demands include some targeted policies, measures for public-private collaboration, and funding allocation for AI innovations and infrastructure.
Weighing upon expectations of the tech-startup sector, Raghu Pareddy, CEO & Founder of Wissen Technology, said that the technology and startup ecosystem is expecting strong policy support, and fiscal measures to accelerate innovation, deepen digital infrastructure, and strengthen global competitiveness.
"An understanding to enhance funding for deep-tech, AI, data, and cybersecurity startups, rationalised tax and ESOP reforms, and simplified compliance will be the key to enabling sustainable growth," Pareddy said, noting continued focus on AI, data centres, semiconductor design, and R&D incentives will help build long-term digital resilience.
Large-scale upskilling initiatives can address the growing tech talent gap, he added.
Highlighting the potential India possesses, Manish Mimani, Founder & CEO Protectt.ai, noted that India’s startup ecosystem has shown what is possible when policy, capital, and talent come together.
"In the upcoming Union Budget, we hope to see continued focus on simplifying regulations, improving access to early-stage capital, and encouraging long-term innovation. Measures that reduce compliance friction, support deep-tech and SaaS startups, and create a stable, predictable policy environment will help founders build with confidence," demanded Mimani, saying a budget that backs startups at every stage will strengthen India’s position as a global hub for entrepreneurship and innovation.
Bringing attention to what AI could do in skilling and education, Arpit Mittal, Founder & CEO at SpeakX.ai, stated that in 2025, AI-driven language learning saw strong adoption across India, with millions of learners, especially from Telugu, Tamil, Marathi, and Bengali speaking regions, turning to these tools to improve their English.
"As the 2026 Union Budget approaches, the sector is hoping for clear support for digital education and the creation of high-quality regional content, so these platforms can reach even the most remote parts of the country," said Mittal, in the hope that the government will address gaps in connectivity and encourage online skill-building initiatives in underserved areas.
At the same time, Abdul Ahad, General Manager -Global Expansion at N+, highlighted the need of shifting attention toward AI-based skilling.
"In 2025, there was an increasing need for technology and AI skills in numerous industries. Platforms that were able to fill this lag by offering structured online courses, practical certifications, and hands-on learning facilitated students learn useful skills and show employers that they were qualified," Ahad said.
"The sector hopes to get help for digital education platforms, AI policy frameworks, and skill development programs that satisfy the needs of the industry. Investing money into verified certification frameworks, scalable online infrastructure, and hands-on learning programs can help close the gap between education and getting a job," he demanded.