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From GDPR to DPDP Act and the impact on Indian enterprises

The Business Guardian

|

March 23, 2025

India's digital landscape has witnessed a remarkable expansion, with an increasing number of individuals embracing the internet daily.

- YASHAWARDHANA

From GDPR to DPDP Act and the impact on Indian enterprises

This digital revolution has highlighted the necessity for robust data protection and privacy legislation. With a population of 1.5 billion, India is a major player in the global digital arena. However, significant data breaches, such as the Aadhaar leak case in 2019, and the rise in cyberattacks have underscored the urgent need for stronger data protection measures.

In 2023, the Indian government took a major step forward by enacting the Digital Personal Data Protection Act (DPDP Act). This regulation aims to establish a legal framework that aligns with global standards while considering the unique features of India's digital ecosystem. The DPDP Act is a transformative development in India's data governance and is expected to bring about significant changes in how organizations process and protect personal data.

THE EVOLUTION OF DATA PRIVACY RIGHTS IN INDIA The concept of privacy has long been a fundamental element of human existence, with the need for privacy protection evident even in ancient texts such as the Ramayana. However, in modern India, the exponential growth of the digital economy and the rise in data breaches have made strong data protection laws essential. The 2017 Puttaswamy ruling, which recognized the right to privacy as a fundamental right under the Indian Constitution, further emphasized this need. Following this landmark judgment, the Indian government established an expert committee to draft a comprehensive data protection framework. This work culminated in the DPDP Act of 2023, which marks a significant departure from India's earlier, fragmented approach to data privacy. The new law introduces stringent regulations, bringing India closer to global data protection standards while addressing the country's specific digital challenges.

THE IMPACT OF THE DPDP ACT

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