The impact of artificial intelligence (AI) on every aspect of our lives is inevitable and already being felt in numerous ways. Countries are grappling with the opportunities and challenges that AI presents. Among the South Asian countries, India has taken a lead in promoting and regulating AI. However, it lags significantly behind countries such as China or the United States. This article explores India’s AI ecosystem, the threats and challenges it faces, and the ethical issues it needs to consider. Finally, it examines the common concerns among South Asian nations and the possibility of coming together to promote and regulate AI in the region.