What India’s New Data Protection Draft Rules Mean For Users And Tech Giants

The Indian government has released a draft for the Digital Personal Data Protection Act and opened it to public consultation up until February 18. This will change the digital face of India-something that will impact both users and firms operating in the country. The new set of final rules is expected to be introduced in Parliament during the monsoon session.

Balancing User Rights And Innovation

According to IT Minister Ashwini Vaishnaw, the draft rules intend to balance liability without stripping the benefit off innovation in the digital sector. He added that rules abide by the Digital Personal Data Protection Act approved by Parliament aimed at using personal data with regulation but not towards curtailing the further evolution of the digital ecosystem. The objective is to safeguard the rights of citizens without victimizing technological advancements.

What DPDP Act Means For Users

The draft DPDP Act has users as the first priority, focusing on children’s online safety. The following are important provisions affecting the user:

Enhanced Child Protection: The most striking feature of the DPDP Act is its provisions for child protection online. Social media sites like Facebook, Instagram, and other popular websites will be required to obtain verifiable parental consent before allowing users under 18 years of age to create accounts. This process will involve validating the identity and age of the parent to ensure compliance.

Data Localisation: For users, the new rules will ensure that their data is handled securely within India. Big Tech companies like Google, Apple, Meta, Amazon, and Microsoft must ensure that their algorithms do not endanger user rights. The government will also have the power to designate certain types of personal data that cannot be transferred outside India, helping safeguard user privacy within the country.

Protection from Toxic Algorithms: Major Data Fiduciaries would also have obligations that they use no harmful algorithm which causes serious harms to rights to end users’ personal data in compliance with rules 12 (3) DPDP draft and data protection periodic audit report against which periodic inspections must be prepared to demonstrate their compliance status to the drafters.

Gradations On Infringing Conduct

The DPDP Act further introduces graded punishments for the violation of data protection rules by companies. It ensures that penalties will be tailored to the size of the company and the gravity of the violation. This system would provide some relief to small businesses while ensuring higher penalties for bigger organizations.

According to Minister Vaishnaw, small enterprises running on minimal resources would receive lower penalties for minor violations so that their sustainability would be ensured. Instead, Big Tech will be expected to be better, and their infractions will attract stiffer punishments for greater infractions.

Implication For Tech Companies

The new rules place a number of obligations on tech companies, especially those in the “Big Tech” category. These companies will have to ensure algorithmic transparency and conduct data protection impact assessments. They will also be required to submit detailed reports to the newly established Data Protection Board, which will oversee the enforcement of these rules.

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