Amazon, American Express and Microsoft plan to ditch the idea of setting up data centres in India for data localization. According to the sources at Reuters, US technology giants plan to intensify lobbying efforts against stringent Indian data localisation requirements, which they say will undermine their growth ambitions in India.
Ever since the meeting between the US and India which happened last September, India has been pushing for data localization to protect user data. The US trade groups representing Amazon, American Express and Microsoft said that an unplanned investment in data centres will hurt their long-term plans. However, this decision might hurt the already stained economic relations between the US and India.
This issue is important enough to be discussed at the India-US trade level. Data localisation is not just a business concern, it potentially makes government surveillance easier, which is a worry.
– Amba Kak, global public policy adviser, Mozilla Corp
According to the sources familiar with this matter, the final decision hasn’t been made yet but US trade union plans to pitch the issue as a trade concern. The critics, however, say that the stricter localisation norms could lead to increased government demands for data access.
Data privacy is a right and it’s good to see India take an initiative to protect the data. Both the countries are still working on a permanent solution to the problem. We can only hope for the best outcome which benefits both the countries as well as the US trade union.
Via: EurAsian Times