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Chronicles

The story behind the story

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Ola's Bhavish Aggarwal says Krutrim has deployed DeepSeek R1 671B on Nvidia's H100 and is offering the model to Indian developers starting at ₹1/million tokens

The Economic Times :

The Economic Times

Context & Ripple Effects

Krutrim had already opened developer offerings spanning cloud access and a chatbot; this expands that route to market with a hosted frontier-scale model rather than only its own services. It makes Krutrim's H100 capacity a product Indian developers can consume directly.

The move sits between Aggarwal's fresh capital commitment to improve local AI and Krutrim's later plan to develop a 700B-parameter Krutrim 3 model with Lenovo. Together, the coverage shows a company pursuing both third-party model serving and proprietary-model development.

First-order effects

  • Indian developers can access DeepSeek R1 671B through Krutrim at the stated token price, without independently operating the underlying H100 infrastructure.
  • Krutrim adds a high-capacity model API to the developer and cloud offerings it launched earlier, creating a near-term use case for its Nvidia GPU deployment.

Second-order effects

  • The quoted API price gives Indian teams a concrete benchmark for comparing hosted inference with self-managed GPU capacity or other model providers.
  • Krutrim must turn low-cost access into sustained developer usage to cover the serving costs of a 671B-parameter model on H100s; model quality, uptime and support become as relevant as the headline token rate.

Third-order effects

  • If providers increasingly host leading third-party models alongside their own, AI competition will shift toward inference economics, local developer distribution and infrastructure operations—not model ownership alone.
  • The pairing of hosted external models with Krutrim's own planned 700B model suggests an emerging hybrid AI-platform strategy, though its durability depends on developer adoption and the economics of GPU-backed serving.

The trend: Indian AI platforms are commercializing scarce GPU capacity as model APIs while building proprietary models to control more of the stack over time.

Discussion

  • @bhash Bhavish Aggarwal on x
    While we in India should be cautious with the DeepSeek app, we can totally make use of the open source model namesake, if securely deployed on Indian servers, to leapfrog our own AI progress. @Krutrim has deployed DeepSeek-R1 671B on H100s - first time anywhere in the world. [vid…