India’s Lower House Eases Data Compliance for Big Tech

Bloomberg reports that on August 7, the lower house of India’s parliament approved a bill that would alleviate data compliance regulations for Big Tech companies.

The Digital Personal Data Protection Bill of 2023 would relax storage, processing, and transfer requirements for global tech giants such as Google, Microsoft, and Meta, as well as local businesses seeking international expansion.

The law permits companies to export data originating from India, except to countries prohibited by the government. As written, the bill requires government approval before Big Tech companies can collect personal data.

It also prohibits them from selling the information for purposes not specified in the contract, such as anonymizing personal data for use in artificial intelligence (AI) training.

These amendments to the measure would reduce compliance requirements for businesses, though it must still pass the upper house of parliament.

India is the world’s most populous nation, and its billions of internet consumers make it a crucial market for expansion.

Concerns regarding the misuse of data in the emerging tech industry, particularly by Big Tech companies, have become an increasing priority for global regulators.

The rapid emergence of AI as a tool accessible to the general public has prompted significant regulatory concerns regarding how these products capture and utilize user data.

Reportedly, India is collaborating with the administration of United States President Joe Biden to develop an international framework for artificial intelligence.

The launch of the decentralized digital identity verification protocol Worldcoin is a recent significant development in the emerging technology landscape that has sparked concerns over data collection.

The initiative has thus far deployed 1,500 iris-scanning Orbs in countries across the globe. According to Worldcoin, India is home to two Orbs in the cities of Delhi in the north and Bangalore in the south.