Saudi Aramco-backed Cognite taps India in AI expansion bet

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By Chandini Monnappa

(Reuters) – Saudi Aramco-backed industrial software firm Cognite on Wednesday opened its AI services center in the southern Indian city of Bengaluru and said it was exploring potential contracts with top conglomerates in the country.

The company said it had signed up with a large industrial cement company and a major automotive firm but declined to provide further details.

“Cognite is betting on India and is investing millions of U.S. dollars currently and our investment in India will continue to increase,” chief strategy officer Hakon Bjerke said.

Cognite makes software that allows companies to improve the operations and safety of industrial installations, such as oil and gas platforms. It is controlled by Aker ASA, the investment firm of Norwegian billionaire Kjell Inge Roekke.

“The decision to come to India was really the big opportunity here as the world was looking for an alternative to China,” CEO Girish Rishi told Reuters.

Apple, Tesla and electronic component maker Jabil have announced plans to expand or launch in India following Prime Minister Narendra Modi’s push to bring global companies to set up centers.

The recent boom in AI is changing the way many companies operate, with manufacturing firms tapping into the technology for streamlining operations, enhancing product quality and optimizing supply chains.

Cognite, which recently shifted its headquarters to the U.S., currently counts AkerBP, Japanese refiner Cosmo Energy Holdings and U.S.-based Koch Chemical among its customers.

Saudi Aramco, via subsidiary Aramco Overseas Company B.V., has acquired a 7.4% stake in Cognite ​as of February 2022.

(Reporting by Chandini Monnappa in Bengaluru; Editing by Shreya Biswas)