In a significant move that will reshape India's digital landscape, the Parliament today passed the much-anticipated Digital India Act (DIA), 2025. The new legislation, which replaces the Information Technology Act, 2000, aims to provide a modern regulatory framework for the country's rapidly growing digital economy.

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A New Era of Data Privacy

One of the most debated aspects of the DIA is its comprehensive approach to data privacy. The act introduces the concept of "data fiduciaries" – entities that collect and process personal data – and imposes strict obligations on them. This includes mandatory data breach notifications within 72 hours and purpose limitation for data collection.

"The Digital India Act is not just a law; it's a charter for a safe, open, and accountable internet for 1.4 billion Indians." - Union Minister for Communications and IT

Regulating AI and Emerging Tech

For the first time, Indian law will specifically address the challenges and opportunities posed by Artificial Intelligence. The DIA lays down a risk-based framework for AI, categorizing applications based on their potential for harm. High-risk AI systems, such as those used in healthcare or autonomous driving, will face stricter regulatory scrutiny.

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Industry experts have offered a mixed reaction. While tech policy analysts have lauded the move as "forward-looking," social media companies and AI startups have expressed concerns about potential compliance burdens. The act also includes provisions for "safe harbor," which will be available to platforms that demonstrate "significant due diligence" in content moderation.

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