Indian Firms Face High Data-Compliance Costs

New Delhi-based Esya Centre surveyed 300 firms across tier 1 and 2 cities and found 85% expect data verification to consume a significant portion of turnover, with nearly 30% saying compliance costs will exceed 10% of revenue. The study found over 75% of AI-training firms depend on publicly available personal data, 80% expect verification to be challenging, and 62% are unaware the DPDP Act excludes 'legitimate interest' and 'contractual necessity'.
Key Points
- 1Survey finds 85% of firms expect data verification to consume significant turnover; 30% foresee >10% costs
- 2Verification burden threatens sovereign AI: over 75% of AI trainers rely on publicly available personal data
- 3Prepare for higher compliance spend and product changes; 62% unaware of DPDP's 'legitimate interest' exclusion
Scoring Rationale
Timely, relevant survey highlights substantial compliance and AI-training risks; score limited by single-source industry survey.
Sources
Public references used for this report.
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