Drafting Standards for AI Systems: Critiques of International Approaches and Recommendations for India

Description: This report offers a detailed analysis of global AI governance standards, particularly the AI Risk Management Framework (AI RMF) by NIST and ISO 42001:2023. It critiques these international frameworks for being overly generalized, focusing on their "one-framework-fits-all" approach, which may not adequately address the diverse applications and contexts of AI technologies. The report advocates for a tailored approach to AI governance in India, moving away from broad frameworks to more specific, context-driven standards.

Attribution: Meghna Bal. Drafting Standards for AI Systems: Critiques of International Approaches and Recommendations for India. October 2024, Esya Centre.

Towards a Stablecoin Regulatory Framework in India

Description: Stablecoins are a distinct class of virtual digital assets (VDAs) backed by fiat currencies, commodities, or other assets. They aim to maintain a stable value, thereby distinguishing them from other VDAs. The increasing prominence of stablecoins, especially in developing economies like India, necessitates the development of a balanced regulatory framework to leverage their potential while addressing associated risks. In light of the current absence of stablecoin-specific regulations in India, this document proposes a four-step process for developing a comprehensive regulatory framework.

Attribution: Mohit Chawdhry. Towards a Stablecoin Regulatory Framework in India. August 2024, Esya Centre.

User Engagement in Traditional Financial, Crypto, and Stablecoin Markets in India

Description: In recent years, several surveys have been conducted to understand the demographic characteristics of crypto-asset users and their motivations for adoption. However, a holistic assessment of user investment portfolios that encompass the various instruments in the crypto space, alongside traditional financial instruments, is lacking. This report attempts to fill this gap by analysing user engagement with assets like gold, equity/stocks, bonds, mutual funds, and cryptoassets of various types (i.e. unbacked cryptoassets such as Bitcoin and Ethereum, nonfungible tokens or NFTs and stablecoins).

Attribution: Vikash Gautam. User Engagement in Traditional Financial, Crypto, and Stablecoin Markets in India. July 2024, Esya Centre.

A Survey-Based Assessment of the Draft Digital Competition Bill’s Impact on Consumer Welfare in Markets

Description: This report analyses the potential impact of the ex-ante regulation proposed in the Draft Digital Competition Bill, 2024 (DDCB) on consumers. It presents findings from a survey of 2,028 consumers from 28 Indian states we conducted in February and March 2024.

Attribution: Meghna Bal, Dr. Vikash Gautam, Tamanna Sharma, and Mohit Chawdhry, A Survey-Based Assessment of the Draft Digital Competition Bill’s Impact on Consumer Welfare in Markets. July 2024, Esya Centre.

Taxes and Takedowns: an Assessment of India’s Key Policy Tools for Virtual Digital Asset Markets

Description: This report examines the ecosystem impact of the blocking of the Uniform Resource Locator (URL) of nine foreign virtual digital asset (VDA) exchanges in January 2024. These exchanges saw large increases in trading volumes following the changes in the VDA tax architecture announced in the 2022-23 Union Budget. This report therefore examine whether the blocking managed to stem this offshoring, to assess its effectiveness as a policy lever to ensure compliance with local laws for areas like taxation and anti-money laundering.

Attribution: Dr. Vikash Gautam and Tamanna Sharma. Taxes And Takedowns: An Assessment Of India’s Key Policy Tools For Virtual Digital Asset Markets. Issue No. 042, May 2024, Esya Centre.

Literature Review on Gender Bias in Generative AI: Implications for India and Recommendations for the Way Forward

Description: Generative AI, known for its ability to generate new content and insights, is reshaping the landscape of human-computer interaction and decision making. Alongside its many benefits, however, generative AI presents unique challenges, particularly in terms of its differentiated impact on people of different genders. This paper seeks to understand how gender bias manifests across the value chain of generative AI, through a comprehensive review of academic work and reports by international organizations. It makes recommendations for policymakers, developers, and deployers for mitigating gender bias and reducing the bias-related harms that emanate from generative AI.

Attribution: Meghna Bal, Mohit Chawdhry and Noyanika Batta. A Literature Review on Gender Bias in Generative AI: Implications for India and Recommendations for the Way Forward. April 2024, Esya Centre.

A Survey-Based Assessment of the Impact of the Draft Digital Competition Bill, 2024 on MSMEs in India

Description: This paper seeks to understand the extent to which micro, small and medium-sized enterprises (MSMEs) rely on large digital platforms to advertise to and attract customers, and the impact on MSMEs when regulation or legislation restricts them from doing do so. The triggers for this research paper are developments in some countries to enact ex ante antitrust regulations that seek to limit the ability of digital platforms to provide effective advertising and other services. These rules ignore the well-recognised benefits that MSMEs derive from accessing them.

Attribution: Meghna Bal and Dr Vikash Gautam. A Survey-Based Assessment of the Impact of the Draft Digital Competition Bill, 2024 on MSMEs in India. March 2024, Esya Centre.

An Empirical Evaluation of the Implementation Challenges of the Digital Personal Data Protection Act, 2023

Description: This report examines the challenges to implementing India’s Digital Personal Data Protection Act, 2023 (DPDPA). Seeking to understand the operational and technical hurdles faced by organisations to the Act’s enforcement, the report delves into aspects related to the implementation of consent mechanisms, provisions for children and persons with disabilities, and the intricacies of appointing data protection officers. Specifically, it explores the internal processes required for compliance and establishes the timelines necessary for meeting the DPDPA’s obligations.

Attribution: Meghna Bal and Gopal Jain. An Empirical Evaluation of the Implementation Challenges of the Digital Personal Data Protection Act, 2023: Insights and Recommendations for the Way Forward. January 2024, Esya Centre.

The Pitfalls of Regulating M2M Communication Services under Telecom Law

Description: This primer questions the effect of regulating machine-to-machine (M2M) communication services by using telecom law in India. It responds to the Draft Indian Telecommunication Bill 2022, on which comments have been sought by the Department of Telecommunications (DoT), which defines a ‘telecommunication service’ to include ‘machine-to-machine communication services’ – suggesting that telecom style regulation may be applied to M2M communications as well. It outlines the technology that underpins M2M services, the regulatory issues that may arise as they gain use, asks whether telecom law is suited to redressing these concerns, and concludes with recommendations.

Attribution: Mohit Chawdhry, The Pitfalls of Regulating M2M Communication Services under Telecom Law, October 2023, Esya Centre.

G20 Digital Asset Regulation Tracker

G20 Digital Asset Regulation Tracker: To trace developments in the rapidly evolving field of digital asset regulation, the Esya Centre created the Digital Asset Regulation Tracker. The tracker provides an overview of the status of digital asset regulation in G20 nations. The idea is to create a ready reckoner for stakeholders interested in digital asset regulation in G20 countries. 

Navigating Approaches to AI Governance: Charting a Pathway for India

Description: The clarion call for the regulation of artificial intelligence (AI) is growing louder across the world. Different jurisdictions have either introduced legislation to regulate the technology or are in the process of doing so. Aside from hard-coded laws, a bevy of voluntary standards have emerged around trust and safety concepts surrounding the deployment and development of AI. This paper presents a roundup of different approaches to AI regulation and governance, as well as the intersection of existing legal doctrines and AI. The purpose of this paper is to put forth considerations for Indian policymakers to take into account when deciding on AI governance down the road.

Attribution: Meghna Bal and Vivan Sharan. Navigating Approaches to AI Governance: Charting a Pathway for India. August 2023, Esya Centre.

Why India Needs an Intermediary Liability Framework for Web3 and What it Should Look Like

Description: The World Economic Forum defines Web3 as a growing segment of decentralised technologies that help “establish provenance, veracity, and value of data.” Web3 technologies, which include cryptography, distributed ledger systems, smart contracts and fungible and non-fungible digital assets, aim to redress the centralisation of data, with large Web2 internet companies, by returning ownership and control to users. This paper argues that the digital product aspect of Web3 should be regulated under a specialised intermediary liability framework targeting centralised Web3 or Web2.5 entities. Such a framework would ensure Web3 digital product risk redressal, while still enabling entrepreneurs to innovate.

Attribution: Meghna Bal and Mohit Chawdhry. Why India Needs an Intermediary Liability Framework for Web3 and What it Should Look Like. August 2023, Esya Centre.

New-Age Digital Consumption in India: A Survey of Social Media, OTT Content and Online Gaming

Description: This report examines the consumption and engagement patterns of users in India’s digital market. Three services from the digital consumption basket – social media, over the top (OTT) content services and online gaming – are in focus here. Each of these has witnessed sharp growth in its user base, revenues and innovation in recent years. The three services have also had a significant impact on users’ time-use for skill development, networking, and leisure/entertainment.

Attribution: Professor Rajat Sharma and Dr Vikash Gautam. New Age Digital Consumption in India: A Survey of Social Media, OTT Content and Online Gaming. July 2023, Esya Centre.

Unbundling the demand for a Network Usage Fee

Description: Major telecom service providers (telecom operators or telcos) in India are arguing for the introduction of a network usage fee for over-the-top (OTT) applications. They contend that there is currently a structural imbalance as OTT platforms allegedly benefit from telecom operator funded networks but do not invest in creating, operating, maintaining or expanding them. Relying on secondary research, this report evaluates the merits of their assertions. Broadly, the literature available indicates that contentions in favour of network usage fees may be incorrect.

Attribution: Noyanika Batta & Meghna Bal. Unbundling the demand for a Network Usage Fee. July 2023, Esya Centre.

Assigning Spectrum for Satellite Services in India

Description: The release of the Telecom Regulatory Authority of India’s consultation paper on “Assignment of Spectrum for Space-based Communication Services” in April 2023, triggered a debate on whether or not spectrum should be assigned across satcom services via auctions. It has also sparked concerns regarding access to sufficient satellite spectrum amongst global satellite operators such as Amazon (Project Kuiper) and OneWeb who want to enter the Indian market. The paper comes at a time when TRAI is consulting with stakeholders on spectrum assignment for space-based communication services. It presents a comprehensive analysis of technical, regulatory, and economic arguments on this issue and echoes the view of majority stakeholders.

Attribution: Tamanna Sharma and Niharika. Assigning Spectrum for Satellite Services in India. June 2023,Esya Centre.

Information Warfare Through Social Media Platforms

Description: This paper focuses on information warfare operations conducted by foreign adversaries through social media platforms. Specifically, it considers challenges related to social media and information warfare in the Indian context and makes suggestions on how India may mitigate such threats, in particular by leveraging and partnering with domestic social media platforms. The recommendations in the paper emanate from global best practices in responding to these threats.

Attribution: Vaishnavi Prasad, Meghna Bal, Shweta Venkatesan, and Dr. Ajai Garg. Information Warfare Through Social Media Platforms. March 2023, Esya Centre.

Regulating Media Ownership in India: Challenges and the Way Ahead

Description: In April 2022, the Telecom Regulatory Authority of India (TRAI), the telecom and broadcast regulator, released a consultation paper (CP) on ‘Issues Relating to Media Ownership’. The Esya Centre and the Internet Freedom Foundation brought together media business owners, journalists, academics, and other stakeholders for a roundtable on media ownership in India. The stakeholders discussed various issues raised in the CP, including the links between plurality and ownership concentration, the adequacy of the existing legal framework, and difficulties in assessing ownership and control. This paper presents key takeaways from the discussion on the central aspects of the TRAI CP. It also suggests recommendations for policymakers on how the regulation of ownership in media markets can be improved.

Attribution: Mohit Chawdhry. Regulating Media Ownership in India: Challenges and the Way Ahead. March 2023, Esya Centre.

Addressing Regulatory Fragmentation in Cross-Border Data Flows

Description: The rules governing cross-border data flows are becoming increasingly fragmented, at the domestic and international level. In April 2020, some 128 of 194 countries had data protection rules in place. While these laws manifest different approaches to cross-border data transfers, trends suggest that restrictions are growing on free data flows. This paper examines the competing approaches to cross-border data flows and identifies some challenges. It also explores India’s new approach to cross-border data flows, and the opportunity the country can seize to champion a more harmonised regulatory approach.

Attribution: Vaishnavi Prasad. Addressing Regulatory Fragmentation in Cross-Border Data Flows. February 2023, Esya Centre.