India’s New Data Law Creates ₹10,000 Crore Opportunity

India has introduced new rules under the Digital Personal Data Protection (DPDP) Act, 2023, and experts say this will open up a huge business opportunity worth ₹10,000 crore over the next three years.

What is the DPDP law?

• Purpose: The DPDP law is India’s first full-scale data protection law.
• Control: It gives people more control over their personal information online.
• Obligations: Companies must handle data carefully, take consent before using it, and report breaches quickly.

Why ₹10,000 crore?

• Compliance spend: Businesses will need to spend money to follow the law.
• Investments: This includes buying new software, hiring experts, and setting up systems to manage consent and protect data.
• Estimate: Consulting firm EY India estimates that firms will spend ₹10,000 crore on compliance in the next three years.

What companies need to do

• Consent management: Ask permission before using customer data.
• Data mapping: Know where all personal data is stored.
• Incident reporting: Inform authorities and users quickly if data is leaked.
• Vendor checks: Ensure partners and service providers also follow the rules.

Who benefits?

• IT service providers: Indian and global tech firms will offer privacy solutions.
• Consultants: Legal and compliance experts will guide companies.
• Startups: New businesses can build tools for consent management and data security.

Why it matters

• For consumers: People will have more trust in digital platforms.
• For businesses: Following the law builds credibility and avoids penalties.
• For India: Aligns with global standards like Europe’s GDPR, strengthening the digital economy.

In simple words

India’s new data law is like a safety shield for your personal information. To follow the rules, companies will spend big money—creating a new ₹10,000 crore market for compliance services. This means more jobs, more startups, and safer digital experiences for everyone.