New Delhi, July 11 -- India's biggest opportunity from the global artificial intelligence (AI) investment boom may lie not in building frontier AI models but in meeting the massive power and infrastructure needs of data centres, according to a thematic report by Shriram Mutual Fund, which argues that the AI spending cycle is "first and foremost a power-demand story" for India.

In its report titled "The AI Bubble Debate: A Unit-Economics Lens," the fund house said India has limited direct exposure to the global race among AI model developers and hyperscalers, but stands to benefit through companies linked to electricity generation, transmission and power infrastructure.

"For India, the AI capex cycle is first and foremost a power-demand ...