Privacy in the Digital Economy

How the Indian Government Interprets the Fundamental Right to Informational Privacy

Authors

  • Abhineet Nayyar Technology Researcher

DOI:

https://doi.org/10.7146/psj.v4.156891

Keywords:

Informational privacy, Right to Privacy, Digitization, Digitalization, Platform economy

Abstract

The industrial and political aspects of today’s digital economy rely overwhelmingly on users exchanging their personal data for online services. Consequently, informational privacy has emerged as one of the many concerns that have garnered the attention of the Indian government.

A crucial shift occurred in 2017 when the Indian Supreme Court declared the ‘Right to Privacy’ as a fundamental right. Since then, the judgment has led to many policy interventions, including the Digital Personal Data Protection Act, 2023. However, as the Act’s clauses reveal, there are stark distinctions between the interpretations of the government and the judiciary on the Right to Privacy. In fact, bound by distinct institutional mandates and responsive to unique power asymmetries, different state authorities also interpret informational privacy in a variety of ways.

This paper presents a privacy-centred analysis of key policies and legislations affecting three stakeholder groups: workers and small businesses on platform-based marketplaces, online multimedia content creators, and digital consumers who view online content and participate in ecommerce activities. The comparative analysis further recognizes three distinct interpretations of informational privacy by government authorities and explores how policy interventions materialize these interpretations into reality.

References

Agosti, Claudio, Joanna Bronowicka, Alessandro Polidoro, and Gaetano Priori. “Exercising Workers’ Rights in Algorithmic Management Systems: Lessons learned from the Glovo-Foodinho digital labour platform case.” European Trade Union Institute. Report No. 2023.11 (2023): 5–70. https://www.etui.org/publications/exercising-workers-rights-algorithmic-management-systems.

Alauddin, Farah Diba Almayanda, Aini Aman, Mohd Fahmi Ghazali, and Sity Daud. “The Influence of Digital Platforms on Gig Workers: A Systematic Literature Review.” Heliyon 11, no. 1 (2025): 1–14. https://doi.org/10.1016/j.heliyon.2024.e41491.

Anand, Malika, and Gayatri Murthy. “Putting Gig Data to Work: Innovations in Expanding Credit Access.” CGAP, June 15, 2023. https://www.cgap.org/sites/default/files/publications/Putting%20Gig%20Data%20To%20Work.pdf.

Balakrishnan, Paran. “AIIMS unprecented data breach sparks fears hackers could misuse information.” The Telegraph, December 2, 2022. www.telegraphindia.com/india/aiims-unprecented-data-breach-sparks-fears-hackers-could-misuse-information/cid/1901550.

Bartels, Nedo, and Anna Schmitt. “Developing Network Effects for Digital Platforms in Two-Sided Markets – The NfX Construction Guide.” Digital Business 2, no. 2 (2022). https://doi.org/10.1016/j.digbus.2022.100044.

Bhandari, Vrinda, Amba Kak, Smriti Parsheera, and Faiza Rahman. “An Analysis of Puttaswamy: The Supreme Court’s Privacy Verdict.” IndraStra Global 11 (2017): 1–5. https://web.archive.org/web/20210308191121/https://www.ssoar.info/ssoar/bitstream/handle/document/54766/ssoar-indrastraglobal-2017-11-bhandari_et_al-An_Analysis_of_Puttaswamy_The.pdf.

Bhatia, Gautam. “‘Civilization has been brutal’: Navtej Johar, Section 377, and the Supreme Court’s Moment of Atonement.” Constitutional Law and Philosophy, September 6, 2018. https://indconlawphil.wordpress.com/2018/09/06/civilization-has-been-brutal-navtej-johar-section-377-and-the-supreme-courts-moment-of-atonement/.

Bing, Christopher, and Munsif Vengattil. “Exclusive: Hacker uses Telegram chatbots to leak data of top Indian insurer Star Health.” Reuters, September 20, 2024. https://www.reuters.com/technology/cybersecurity/hacker-uses-telegram-chatbots-leak-data-top-indian-insurer-star-health-2024-09-20/.

Claburn, Thomas. “Meta to Feed Europe’s Public Posts into AI Brains Again.” The Register, April 15, 2025. https://www.theregister.com/2025/04/15/meta_resume_ai_training_eu_user_posts/.

Committee on Digital Competition Law. “Report of the Committee on Digital Competition Law.” Ministry of Corporate Affairs, February 27, 2024. https://www.mca.gov.in/bin/dms/getdocument?mds=gzGtvSkE3zIVhAuBe2pbow%253D%253D&type=open.

Committee of Experts under the Chairmanship of Justice B.N. Srikrishna. “A Free and Fair Digital Economy.” Ministry of Electronics & Information Technology, July 27, 2018. https://web.archive.org/web/20180727170145/https://www.meity.gov.in/writereaddata/files/Data_Protection_Committee_Report.pdf.

Competition Commission of India. “Market Study on the Telecom Sector in India: Key Findings and Observations.” Competition Commission of India, January 22, 2021. https://www.cci.gov.in/images/whatsnew/en/market-study-on-the-telecom-sector-in-india1652177923.pdf.

———. “Re: Allegations pertaining to private label brands related to Amazon sold on Amazon India marketplace.” Suo Motu Case No. 04 of 2021. March 11, 2022. https://www.cci.gov.in/images/antitrustorder/en/suo-motu-case-no-0420211652510352.pdf.

———. “Re: Updated Terms of Service and Privacy Policy for WhatsApp users.” SM Case No. 01 of 2021 and Case Nos. 05 of 2021 & 30 of 2021. November 18, 2024. https://www.cci.gov.in/images/antitrustorder/en/order1732001619.pdf.

Confessore, Nicholas. “Cambridge Analytica and Facebook: The Scandal and the Fallout So Far.” The New York Times, April 4, 2018. https://www.nytimes.com/2018/04/04/us/politics/cambridge-analytica-scandal-fallout.html.

Das, Shouvik. “‘India a Vital Cloud Market for Google besides the US’.” Mint, October 19, 2023. https://www.livemint.com/companies/people/india-a-vital-cloud-market-for-google-besides-the-us-11697735385494.html.

De Souza, Siddharth Peter, and Kritika Bhardwaj. “India’s Conception of Community Data and Addressing Concerns for Access to Justice.” Digital Society 3, no. 16 (2024): 1–19. https://doi.org/10.1007/s44206-024-00102-5.

Dixit, Nimit. “India’s Privacy Puzzle.” Asian Legal Business, February 28, 2025. https://www.legalbusinessonline.com/features/indias-privacy-puzzle.

ET Online. “62% of Indian SMBs Use a Website, Online Store, or e-Comm Platform as Their Main Sales Channel: Report.” The Economic Times, 29 May 29, 2023. https://economictimes.indiatimes.com/small-biz/sme-sector/62-of-indian-smbs-use-a-website-online-store-or-e-comm-platform-as-their-main-sales-channel-report/articleshow/100589250.cms.

———. “Meta’s Sandhya Devanathan Sees India as Key Market for Growth.” The Economic Times, November 25, 2024. https://economictimes.indiatimes.com/news/company/corporate-trends/metas-sandhya-devanathan-sees-india-as-key-market-for-growth/articleshow/115652894.cms.

Gilbertson, Annie, and Alex Reisner. “Apple, Nvidia, Anthropic Used Thousands of Swiped YouTube Videos to Train AI.” WIRED, July 16, 2024. https://www.wired.com/story/youtube-training-data-apple-nvidia-anthropic/.

Gregory, Karen. “‘Worker Data Science’ Can Teach Us How to Fix the Gig Economy.” WIRED, December 7, 2021. https://www.wired.com/story/labor-organizing-unions-worker-algorithms/.

Gupta, Apar. “The long saga of the data bill holds crucial lessons.” Hindustan Times, August 4, 2023. https://www.hindustantimes.com/opinion/the-long-saga-of-the-data-bill-holds-crucial-lessons-101691156631975.html.

Gupta, Apar, and Medha Garg. “IFF Writes to the Select Committee to Review the Digital Search and Seizure Powers under the Income Tax Bill, 2025.” Internet Freedom Foundation, March 10, 2025. https://internetfreedom.in/iff-writes-to-the-select-committee-to-review-the-digital-search-and-seizure-powers-under-the-income-tax-bill-2025/.

Gupta, Aryaman. “Nearly 98% of Gig Workers Earn under Rs 5 Lakh per Annum, Shows TeamLease Data.” Moneycontrol, February 12, 2025. https://www.moneycontrol.com/news/business/startup/nearly-98-of-gig-workers-earn-under-rs-5-lakh-per-annum-shows-teamlease-data-12938134.html.

Gurumurthy, Anita, Nandini Chami, and Deepti Bharthur. “Platform Labour in Search of Value.” International Labour Organization (2021): 3–78. https://www.ilo.org/sites/default/files/wcmsp5/groups/public/@ed_emp/@emp_ent/@coop/documents/publication/wcms_809250.pdf.

Ikeda, Scott. “After Pushback From Big Tech Companies, India Scraps Personal Data Protection Bill and Starts Over.” CPO Magazine, August 8, 2022. https://www.cpomagazine.com/data-protection/after-pushback-from-big-tech-companies-india-scraps-personal-data-protection-bill-and-starts-over/.

ILO Bureau for Employers’ Activities. “Expansion of the Gig Economy in India and Opportunities for Employers and Business Members Organizations.” International Labour Organization (2024): vii–38. https://www.ilo.org/sites/default/files/2024-04/ILO%20Platform%20workers%20and%20EBMOs%20India%20Report_3%20April%20%28LIGHT%20PDF%29.pdf

India Brand Equity Foundation. “Flipkart Internet Pvt Ltd | E-Commerce.” India Brand Equity Foundation (n.d.). https://www.ibef.org/industry/ecommerce/showcase/flipkart-internet-pvt-ltd.

Invest India. “Investment Opportunities in Retail & E-Commerce – Invest India.” Invest India (n.d.). https://www.investindia.gov.in/sector/retail-e-commerce.

Jain, Anushka, and Prateek Waghre. “IFF’s First Read of the Draft Digital Personal Data Protection Bill, 2023.” Internet Freedom Foundation, August 3, 2023. https://internetfreedom.in/iffs-first-read-of-the-draft-digital-personal-data-protection-bill-2023/.

Joint Committee on the Personal Data Protection Bill, 2019. “Report of the Joint Committee on the Personal Data Protection Bill, 2019.” Government of India, December 16, 2021. https://web.archive.org/web/20230202143515/https://eparlib.nic.in/bitstream/123456789/835465/1/17_Joint_Committee_on_the_Personal_Data_Protection_Bill_2019_1.pdf.

Kalra, Aditya, and Steve Stecklow. “Amazon Copied Products and Rigged Search Results to Promote Its Own Brands, Documents Show.” Reuters, October 13, 2021. https://www.reuters.com/investigates/special-report/amazon-india-rigging/.

Kapoor, Ankit, and Karthik Rai. “Gig Economy: A Tale of Algorithmic Control and Privacy Invasion.” NLSIR Online, March 21, 2023. https://www.nlsir.com/post/gig-economy-a-tale-of-algorithmic-control-and-privacy-invasion.

Karmali, Naazneen. “India’s 100 Richest.” Forbes, October 9, 2024. https://www.forbes.com/lists/india-billionaires/.

Kathuria, Rajat, Mansi Kedia, and Kaushambi Bagchi. “India’s Platform Economy and Emerging Regulatory Challenges.” ICRIER, Working Paper No. 47 (2021): i–41. https://www.econstor.eu/handle/10419/267927.

Khan, Lina M. “Amazon’s Antitrust Paradox.” The Yale Law Journal 126, no. 3 (2017): 564–907. https://www.yalelawjournal.org/pdf/e.710.Khan.805_zuvfyyeh.pdf.

Koops, Bert-Jaap, Bryce Clayton Newell, Tjerk Timan, Ivan Škorvánek, Tom Chokrevski, and Maša Galič. “A Typology of Privacy.” University of Pennsylvania Journal of International Law 38, no. 2 (2016): 483–575. https://ssrn.com/abstract=2754043.

Krishnan, Anjana. “Digital News Report, 2024 | India.” Reuters Institute for the Study of Journalism. June 17, 2024. https://reutersinstitute.politics.ox.ac.uk/digital-news-report/2024/india.

Kumar, Chandan, Anousha Peters, and T. Aishwarya, “Gig Economy in India: Labour Rights Violations and Digital Exploitation.” Frontline. March 18, 2025. https://frontline.thehindu.com/the-nation/human-rights/gig-economy-india-workers-rights-labour-exploitation-surveillance-data-privacy-laws/article69341247.ece.

Lovink, Geert, and Nathaniel Tkacz. “MoneyLab: Sprouting New Digital-Economic Forms.” In MoneyLab Reader: An Intervention in Digital Economy, edited by Geert Lovink, Nathaniel Tkacz, and Patricia de Vries, 14–18. Amsterdam: Institute of Network Cultures, 2015. https://networkcultures.org/wp-content/uploads/2015/04/MoneyLab_reader.pdf.

Mahadik, Karan. “Did Google Use YouTube Videos to Train Its New AI Video Model, Veo?” The Indian Express, September 25, 2024. https://indianexpress.com/article/technology/artificial-intelligence/google-youtube-videos-training-ai-video-model-9585999/.

Manokha, Ivan. “Surveillance: The DNA of Platform Capital—The Case of Cambridge Analytica Put into Perspective.” Theory & Event 21, no. 4 (2018): 891–913. https://muse.jhu.edu/pub/1/article/707015.

Martens, Bertin. “An Economic Perspective on Data and Platform Market Power.” SSRN Scholarly Paper, February 10, 2021. https://doi.org/10.2139/ssrn.3783297.

Mathi, Sarvesh. “India’s Digital Personal Data Protection Bill, 2023 Gives the Government Powers to Exempt Itself from the Bill, Block Content, and More.” Medianama, August 3, 2023. https://www.medianama.com/2023/08/223-dpdp-bill-2023-government-exemptions-3/.

Mazzucato, Mariana, David Eaves, and Beatriz Vasconcellos. “Digital Public Infrastructure and Public Value: What Is ‘Public’ about DPI?” UCL Institute for Innovation and Public Purpose, Working Paper Series (IIPP WP 2024-05): 4–29. https://www.ucl.ac.uk/bartlett/publications/2024/mar/digital-public-infrastructure-and-public-value-what-public-about-dpi.

Ministry of Corporate Affairs. “Unstarred Question No. 91 | Current Status of the Draft Digital Competition Bill.” Lok Sabha 18, session 5, July 21, 2025. https://sansad.in/getFile/loksabhaquestions/annex/185/AU91_YsV2C2.pdf?source=pqals.

Ministry of Education. “Apaar | About Us.” Apaar (n.d.). https://apaar.education.gov.in/about.

Ministry of Electronics and Information Technology. “The Digital Personal Data Protection Act, 2023.” The Gazette of India, August 11, 2023. https://www.meity.gov.in/static/uploads/2024/06/2bf1f0e9f04e6fb4f8fef35e82c42aa5.pdf.

Ministry of Finance. “Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016.” The Gazette of India, March 25, 2016. https://uidai.gov.in/images/targeted_delivery_of_financial_and_other_subsidies_benefits_and_services_13072016.pdf.

———. “The Income Tax (No. 2) Bill, 2025.” Bill No. 104 of 2025 (2025): (i)–604, https://prsindia.org/files/bills_acts/bills_parliament/2025/Bill_Text-Income-tax(No.2)_Bill_2025.pdf.

Mishchenko, Lidiya. “The Internet of Things: Where Privacy and Copyright Collide.” Santa Clara Computer and High Technology Law Journal 33, no. 1 (2016): 90–115. https://papers.ssrn.com/abstract=4092019.

National Digital Health Mission. “Health Data Management Policy.” Ministry of Health and Family Welfare, August 20, 2020. https://abdm.gov.in:8081/uploads/health_data_management_policy_77208f0d26.pdf?updated_at=2022-05-27T13:27:06.812Z.

NPCI. “Unified Payments Interface | Product Overview.” NPCI – National Payments Corporation of India (n.d.). https://www.npci.org.in/what-we-do/upi/product-overview.

Pandey, Kamya. “IAMAI continues to oppose ex-ante regulation in its comments on the draft Digital Competition Bill.” Medianama, May 16, 2024. https://www.medianama.com/2024/05/223-iamai-oppose-ex-ante-regulation-comments-draft-digital-competition-bill/.

Pea Bee. “Everyone Knows All the Apps on Your Phone.” Pea Bee, March 27, 2025. https://peabee.substack.com/p/everyone-knows-what-apps-you-use.

PIB Delhi. “Future Ready: India’s Digital Economy to Contribute One-Fifth of National Income by 2029–30.” Press Information Bureau. January 28, 2025. https://pib.gov.in/pib.gov.in/Pressreleaseshare.aspx?PRID=2097125.

———. “Universal Connectivity and Digital India Initiatives Reaching to All Areas, Including Tier-2/3 Cities and Villages.” Press Information Bureau, August 6, 2024. https://pib.gov.in/pib.gov.in/Pressreleaseshare.aspx?PRID=2040566.

Planning Commission. “Notification No. A.03011/02/2009-Admn.I.” The Gazette of India. January 28, 2009. https://uidai.gov.in/images/notification_28_jan_2009.pdf.

Poell, Thomas, David Nieborg, and José van Dijck. “Platformisation.” Internet Policy Review 8, no. 4 (2019). https://doi.org/10.14763/2019.4.1425.

Press Trust of India. “India Key Market, Committed to Bring Digital Revolution: Google India MD.” Business Standard, October 3, 2024. https://www.business-standard.com/technology/tech-news/india-key-market-committed-to-bring-digital-revolution-google-india-md-124100301038_1.html.

Pushkarna, Akshit. “Amazon India Marketplace’s Revenue Crosses INR 25K Cr Mark.” Inc42 Media, November 11, 2024. https://inc42.com/buzz/amazon-india-marketplaces-revenue-crosses-inr-25k-cr-mark/.

Rajmohan, Karthika, and Shravani Nag Lanka. “The Opt out Conundrum: Analysis of Web Scraping to Train AI Models.” Internet Freedom Foundation, December 19, 2024. https://internetfreedom.in/analysis-of-web-scrapping/.

Roessler, Beate. “Privacy and/in the Public Sphere.” Yearbook for Eastern and Western Philosophy 2016, no. 1 (2016): 243–256. https://doi.org/10.1515/yewph-2016-0021.

Roy, Raktima, and Gabriela Zanfir-Fortuna. “The Digital Personal Data Protection Act of India, Explained.” Future of Privacy Forum, August 15, 2023. https://fpf.org/blog/the-digital-personal-data-protection-act-of-india-explained/.

Sadashiv, Sakshi K. “Instagram Creates AI-Content from Users’ Images Triggering Concerns About Meta AI’s Privacy and Ownership Over Them.” Medianama. January 9, 2025. https://www.medianama.com/2025/01/223-instagram-creates-ai-content-from-users-images-triggering-concerns-about-meta-ais-privacy-and-ownership-over-them/.

Sarkar, Kingshuk. “Ensuring a Proper Social Safety Net for the Gig Worker.” The Hindu, October 15, 2024. https://www.thehindu.com/opinion/op-ed/ensuring-a-proper-social-safety-net-for-the-gig-worker/article68753585.ece.

Shaharbanu, Ada, and Namita Kaushik. “Gig Workers’ Personal Data Protection.” India Business Law Journal, December 30, 2024. https://law.asia/gig-economy-data-protection-india/.

Sharma, Aryan, and Tania Bagwe. “India’s New Income Tax Bill: A Digital Privacy Nightmare?” Centre for Comparative Constitutional Law and Administrative Law, June 3, 2025. https://www.calj.in/post/india-s-new-income-tax-bill-a-digital-privacy-nightmare.

Sherman, Justin. “Issue Brief: Finding Security in Digital Public Infrastructure.” Atlantic Council, October 21, 2024. https://www.atlanticcouncil.org/in-depth-research-reports/issue-brief/finding-security-in-digital-public-infrastructure/.

Singh, Tanmay, and Gayatri Malhotra. “The Digital Personal Data Protection Bill, 2022 Does Not Satisfy the Supreme Court’s Puttaswamy Principles.” Internet Freedom Foundation. December 16, 2022. https://internetfreedom.in/the-digital-personal-data-protection-bill-2022-does-not-satisfy-the-supreme-courts-puttaswamy-principles/.

Sinha, Amber. “India’s Data Protection Framework Will Need to Treat Privacy as a Social and Not Just an Individual Good.” EPW Engage. May 9, 2018. https://www.epw.in/engage/article/for-indias-data-protection-regime-to-be-efficient-policymakers-should-treat-privacy-as-a-social-good.

Standing Committee on Finance (2022–23). “Anti-Competitive Practices by Big Tech Companies.” Ministry of Corporate Affairs. December 19, 2022. https://eparlib.nic.in/bitstream/123456789/1464505/1/17_Finance_53.pdf.

Supreme Court of India. “Justice K.S. Puttaswamy (Retd.) And Anr. v. Union Of India And Ors.” AIR 2017 SC 4161, August 24, 2017. https://www.scobserver.in/wp-content/uploads/2021/10/Right_to_Privacy__Puttaswamy_Judgment_1.pdf.

Swethavimala M, and Ajay Tomar. “Tech lapse possible in TSCOP data leak: Police.” The New Indian Express, June 9, 2024. https://www.newindianexpress.com/states/telangana/2024/Jun/09/tech-lapse-possible-in-tscop-data-leak-police.

Thomas, Pradip Ninan. Digital India: Understanding Information, Communication and Social Change. SAGE Publications, 2012. https://doi.org/10.4135/9788132114017.

Törnberg, Petter. “How Platforms Govern: Social Regulation in Digital Capitalism.” Big Data & Society 10, no. 1 (2023): 1–13. https://journals.sagepub.com/doi/pdf/10.1177/20539517231153808.

Westermeier, Carola. “Money Is Data – the platformization of financial transactions.” Information, Communication & Society 23, no. 14 (2020): 2047–2063. https://doi.org/10.1080/1369118X.2020.1770833.

Wood, David Murakami, and Torin Monahan. “Editorial: Platform Surveillance.” Surveillance & Society 17, no. 1 (2019): 1–6. https://doi.org/10.24908/ss.v17i1/2.13237.

Worldometer. “India Population.” Worldometer (n.d.). http://www.worldometers.info/world-population/india-population/.

Yadav, Krishna. “Supreme Court Transfers CCI’s Amazon-Flipkart Antitrust Probe Case to Karnataka High Court.” Mint, January 6, 2025. https://www.livemint.com/companies/news/amazon-flipkart-probe-cci-competition-commission-of-india-karnataka-high-court-supreme-court-cci-probe-antitrust-11736140866470.html.

Downloads

Published

2025-11-24

How to Cite

Nayyar, A. (2025). Privacy in the Digital Economy: How the Indian Government Interprets the Fundamental Right to Informational Privacy. Privacy Studies Journal, 4, 126–151. https://doi.org/10.7146/psj.v4.156891

Issue

Section

Position Papers