Data Localization – Benefits & Challenges
                     DATA LOCALIZATION – BENEFITS & CHALLENGES
INTRODUCTION
Data localization is the act 
of storing data on any 
device physically present 
within the borders of a 
country. As of now, most of 
these data are stored, in a 
cloud, outside India.
Source: www.adda247.com
BENEFITS
PROTECTION OF 
INFORMATION
Protection of personal and 
financial information of the 
country’s citizens and 
residents from foreign 
surveillance and giving 
local governments and 
regulators the jurisdiction 
to call for the data when 
required.
Source: www.adda247.com
EASY 
SUPERVISORY 
ACCESS
Data Localization will 
provide Indian Law 
enforcement easy 
supervisory access. This 
will help the law 
enforcement agencies to 
effectively investigate 
crimes and threats to 
national security.
Source: www.adda247.com
JURISDICTION TO 
CALL FOR THE 
DATA
In case of dispute or 
misappropriation, it will 
give local governments and 
regulators the jurisdiction 
to call for the data when 
required.
Source: www.adda247.com
BOOST 
EMPLOYMENT
Data warehousing is a huge 
business and will help 
boost data centre industry 
in India and provide 
employment.
Source: www.adda247.com
CHALLENGES
INFRASTRUCTURE
At present, India does not 
have the well-developed 
infrastructure to ensure the 
security of data.
Source: www.adda247.com
HIGHER 
OPERATIONAL 
COSTS
Storing data in India means 
higher operational costs for 
payment system operators. 
Because in other countries 
they have cheaper 
alternatives.
Source: www.adda247.com
THREAT
The base of the internet is 
the free flow of data. Data 
localization is also a threat 
to the main essence of the 
internet.
Source: www.adda247.com