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Data Localization

Data Localization:

Many Indian start-ups have complained that the provision of the personal data protection Bill is too “compliance intensive” and could hamper the ease of doing business.

  • Data localisation is the practice of storing data on any device that is physically present within the borders of the country where the data is generated.
  • As of now, most of these data are stored, in a cloud, outside India.
  • The framework recommended data localisation and also gave a two-year sunset period for the industry to adjust before localization rules become mandatory.
  • The Srikrishna Committeewants to localise data for law enforcement to have easy access to data, prevent foreign surveillance, and build an artificial intelligence ecosystem in India.
  • As per the committee– At least one copy of personal data will need to be stored within India, any transfer outside the country will need to comply with the rules, and critical personal data will only be stored and processed in India.
  • China, United States, Brazil, Indonesia, EU (data protection regime) and Russia has such law