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The Union Budget 2026–27 placed renewed emphasis on technology as a driver of economic growth, productivity and strategic autonomy. With artificial intelligence, digital infrastructure and semiconductor manufacturing emerging as key focus areas, the government signalled its intent to strengthen India’s position in critical and emerging technologies. The Budget outlined measures aimed at expanding access to digital tools, supporting domestic manufacturing, and building long-term technological capacity across sectors.
AI and Digital Technology: From Agriculture to National Strategy
One of the Budget’s prominent themes was the wider adoption of artificial intelligence across public services and industry. The government highlighted the role of AI in improving efficiency, decision-making and service delivery, particularly in areas with limited access to traditional resources.
A key announcement was the launch of Bharat Vistar, a multilingual AI-driven platform for the agriculture sector. The tool is designed to provide farmers with real-time information, advisory services and decision support in multiple Indian languages. By improving access to reliable farming knowledge, the initiative aims to support productivity and resilience, especially among small and marginal farmers.
The focus on AI in agriculture reflects a broader effort to integrate digital technologies into national development programmes and align innovation with social and economic priorities.
Semiconductor and Electronics Ecosystem: A Strategic Anchor
Alongside digital initiatives, the Budget underscored the importance of strengthening India’s semiconductor and electronics manufacturing base. Although not directly linked to telecom policy, semiconductors were positioned as a foundational element for future growth in computing, communications and advanced technologies.
The government announced an expanded India Semiconductor Mission 2.0, with a revised outlay of Rs 40,000 crore. The programme aims to support domestic chip manufacturing, advanced materials research and supply chain development. It also seeks to attract investment and reduce dependence on overseas suppliers for critical components.
This renewed focus reflects an understanding that semiconductors underpin sectors ranging from telecom and data centres to artificial intelligence and deep-tech innovation. By reinforcing domestic capabilities, the government is seeking to create a more resilient and self-reliant technology ecosystem.
Commenting on the Budget, Rajeev Tiwari, Co-founder of STEMROBO Technologies, said it reflects a strategic push towards a technology-driven and inclusive future.
“The Union Budget 2026 presented by Finance Minister Nirmala Sitharaman underscores India’s strategic push towards a technology-driven future while making growth more inclusive and equitable,” he said. “The government’s vision, framed within the new three-Kartavya framework, explicitly targets opportunities for youth, women, and disadvantaged groups as catalysts for sustainable growth and innovation.
“This Budget continues to recognise artificial intelligence and emerging technologies as key pillars for the next phase of India’s economic transformation. With advanced tech and digital infrastructure high on the policy agenda, India aims to accelerate technology adoption, support industry competitiveness, and catalyse innovation ecosystems focused on deep-tech, AI research and applied learning.
“Improved access to STEM education and lab-based experiential learning, particularly for girls and women, is central to bridging gender gaps in high-tech fields. By strengthening STEM institutions and linking them with industry and research initiatives, the Budget creates a pipeline of women technologists and innovators who can contribute to India’s digital economy and global leadership in technology.”