Data privacy in the digital age: A legal and technological perspective for India

By Elaine Fletcher, Head of Governance, Hoonartek With the introduction of the Digital Personal Data Protection Act (DPDPA), 2023, India has taken a significant step towards creating a robust framework for processing personal identifiable information (PII) in the digital age. This legal framework, reinforced by the draft Digital Personal Data Protection (DPDP) Rules, 2025, aims to address key aspects of data privacy, including verifiable parental consent for children’s online accounts and a consent-based model for data processing. The draft rules reflect the growing focus on balancing innovation with accountability in managing personal data.

As India strengthens its data privacy laws, it becomes essential to examine the technological landscape and legal implications shaping how data is processed, stored, and secured within the country. The rapid digital transformation has brought opportunities and challenges, necessitating a comprehensive legal framework to protect individuals’ rights while fostering innovation and economic growth. The Legal Framework: Strengthening India’s Data Protection Laws The DPDPA, 2023, represents a landmark shift in India’s approach to personal data protection.



It emphasises user consent, transparency in data collection practices, and accountability for data breaches. The Act categorises individuals as Data Principals and entities processing data as Data Fiduciaries, outlining clear rights and responsibilities for both. One of the key provisions of the DPDPA is the requirement for obtaining explicit consent from users before processing their data.

For children’s data, the draft DPDP Rules 2025 mandates parental consent and verification of parental identity, aiming to protect minors from online risks. The Act also introduces the concept of Significant Data Fiduciaries (SDFs) – entities that process large volumes of sensitive personal data. These entities must implement stricter compliance measures, such as appointing a Data Protection Officer (DPO) and conducting regular Data Protection Impact Assessments (DPIAs) to mitigate potential risks.

Key Technological Measures for Data Privacy While a strong legal framework is crucial, technology plays a pivotal role in safeguarding personal data. The Indian government’s efforts must be complemented by adopting Privacy-Enhancing Technologies (PETs) to ensure secure data handling. These technologies include: Encryption: Ensuring that data is encrypted in transit and at rest reduces the risk of unauthorised access.

Encryption standards must be enforced by data fidelity institutions that handle sensitive personal data. Anonymisation: The DPDPA encourages the anonymisation of personal data to reduce the risk of misuse. Anonymised data cannot be traced back to an individual, minimising privacy risks while enabling data-driven innovation.

Data Minimisation: The principle of data minimisation ensures that only the necessary amount of data is collected and processed, reducing exposure to potential breaches. Secure Consent Mechanisms: The draft rules require that consent be managed through Consent Managers – independent entities responsible for obtaining, managing, and withdrawing user consent. These mechanisms must be designed to be user-friendly and transparent.

The Role of Regulatory Bodies The Data Protection Board of India will be established to oversee the enforcement of the DPDPA and ensure compliance by Data Fiduciaries. The Board will be able to impose penalties for non-compliance and investigate complaints related to data breaches and misuse. Additionally, the Indian Computer Emergency Response Team (CERT-In) is vital in managing cybersecurity incidents and issuing advisories to protect digital infrastructure from threats.

Collaboration between regulatory bodies and law enforcement agencies is critical to addressing cross-border data flows and holding multinational corporations accountable. Challenges in Implementation Despite the legal and technological advancements, implementing a comprehensive data privacy framework in India poses several challenges: Lack of Awareness: Many individuals remain unaware of their rights as Data Principals under the DPDPA. Public awareness campaigns are essential to empower users with data protection and privacy knowledge.

Capacity Building: Companies, especially small and medium enterprises (SMEs), may lack the resources to implement data protection measures. The government must provide support through guidelines and capacity-building initiatives. Cross-Border Data Transfers: Ensuring that data protection laws are enforced across borders remains challenging.

The DPDPA outlines conditions for transferring data outside India, but enforcement mechanisms must be strengthened. The Way Forward to build a strong data privacy regime in India, it is essential to: Enhance Legal Clarity: The government must issue clear guidelines to address DPDPA and DPDP Rules ambiguities. Regular updates to the rules will ensure they remain relevant to evolving technologies.

Promote Technological Innovation: Encouraging the development and adoption of PETs will help businesses comply with data protection laws while maintaining user trust. Strengthen User Awareness: Public awareness campaigns and educational initiatives will empower individuals to exercise their rights under the DPDPA. Facilitate International Cooperation: Collaborating with international regulatory bodies will help address the challenges of cross-border data flows and harmonise data protection standards.

Conclusion India’s data privacy landscape is undergoing a significant transformation with the implementation of the Digital Personal Data Protection Act, 2023, and the draft DPDP Rules, 2025. As legal frameworks evolve to keep pace with technological advancements, it is crucial to balance protecting individual privacy rights and fostering innovation. By leveraging technology, promoting awareness, and enhancing regulatory oversight, India can create a secure digital ecosystem that respects data privacy and supports economic growth.

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