India faces threat of digital colonisation (Global giants taking over Indian digital world)

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 India faces threat of digital colonisation (Global giants taking over Indian digital world)

Read more on - Polity | Economy | Schemes | S&T | Environment


    • East India Company, version 2.0: The way global digital giants are trying to capture data flow in India, is a reminder of how the East India Company (EIC) once operated, and gained full control.
    • Strategies then, and now: The digital giants of today are using the same strategies to capture Indian markets.
      1. Making huge profits by monopolising markets
      2. Ensuring parliament's support while doing so (EIC had UK Parliament's support)
      3. Local interests of financiers and EIC converged (credit to EIC flowed fast from local bankers!)
      4. Local kings didn't realise the EIC took power away incrementally, till it was too late!
    • Role of data: The digital world survives on data, and access to it defines success. In some time, total value of online data with digital giants may exceed US's total agri output! So US digital giants now want "free" access to India's digital data. (so they want a borderless, free flow system)
    • Using their governments: Global digital giants are using their governments to get trade deals, where India is asked to surrender its data advantage to the developed world. Hence, "no data localisation please"! Many IT firms in India are pushing the same cause, as their profits are linked.  (recall the Jagat Seths of EIC's time)
    • What should the GoI do: It must take a long term view, not bothering of short term pressures. 
      1. $1 trillion worth digital economy demands that GoI look beyond the IT stars of today, and nurtures the mega giants of tomorrow
      2. We need firms using Indian data to create jobs and generate incomes
      3. So, data has to become a "national asset" 
      4. Not agreeing to the "Osaka Track on data flow with trust" that was pushed by Shinzo Abe in G20 summit 2019 was a good step. Now maintain the stand at WTO too.
    • No more EIC curse please: Learn from the past, and avoid the future digital colonisation, starting now.
    • Summary : Digital giants of the world are using their national governments’ heft to push India into digital deals that resemble the East India Company's strategies.
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                                                                                                                                                          PT's IAS Academy: India faces threat of digital colonisation (Global giants taking over Indian digital world)
                                                                                                                                                          India faces threat of digital colonisation (Global giants taking over Indian digital world)
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