Tech Giants Data Localisation

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Context

  • Indian government has asked Global Tach giants to set up local data centres.
  • In a fear that it will inhibit their growth aspirations in India with raising cost, the U.S. technology giants plan to intensify lobbying efforts against stringent Indian data localisation requirements.
  • Amazon, American Express and Microsoft, have opposed India’s push to store data locally.

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Issue Area

  • Data localisation is not just a business concern, it potentially makes government surveillance easier, which is a worry.
  • It could lead to increased government demands for data access.
  • Technology firms worry the mandate would hurt their planned investments by raising costs related to setting up new local data centres.
  • The issue could further undermine already strained economic relations between India and the United States.

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