#FactCheck - Viral Video of Anti-RSS Slogans Is From 2022 Telangana, Not Uttar Pradesh

Data localisation refers to restrictions in the data flow by limiting the physical storage and processing of data within a given jurisdiction’s boundaries.  

An obvious benefit contributing to the importance of data localisation is the privacy benefits it offers. In addition to this, data localisation also has the potential to safeguard sensitive data and decrease the probability of cyber-attacks. In India, data localisation has become a key issue in the last decade due to the increase in the discourse for data privacy. 

The Legal Framework in India

India passed the Digital Personal Data Protection Act of 2023 which directs the data fiduciaries (collectors and processors of digital personal data) to store the data of Indian citizens within India. This push for data localisation aligns with India’s position to enhance privacy, national security and regulatory control. It further requires data fiduciaries to adhere to the principles of data minimisation, purposeful limitation and consent of the data principles. Further, Section 17 of the Act prohibits the transfer of sensitive personal data to foreign jurisdictions unless they meet satisfactory privacy protection standards. 

The Reserve Bank of India, via a circular for Payments Data Regulation in 2018, has mandated that all payment data be stored in India, though it can be processed abroad. It requires the telecom sector to ensure local storage and local processing of subscriber information. It further prohibits the transferring of subscribers’ account information overseas.

MeitY’s Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, emphasise data localisation, specifically when it involves government or critical data. The main idea behind this is that data related to Indian citizens or government activities should remain accessible to Indian law enforcement agencies and is not subject to external jurisdiction.

Common Misinformation about Data Localisation and its Impact

Misconceptions fuel misinformation and influence public perception and policy debates. A common misconception is that all data must be stored in India. It should be noted that non-critical and non-sensitive data are not subject to localisation, and can be cleared for cross-border transfers under specific circumstances.

Another misconception is that data localisation alone ensures complete security. A robust cybersecurity approach, infrastructure and capabilities are what guarantee security and this holds true regardless of the location of where the data is stored. 

The notion that small businesses and startups will suffer the most is untrue. While data localisation policies may lead to increased costs, they foster innovation in the domestic infrastructure and services. This potentially fuels development and innovation in these small businesses and startups. Claims that data localisation will stifle global business are unfounded. 

Proper regulations for data transfers can help balance data flows, enabling international trade while ensuring data sovereignty.

Real Impact of Data Localisation

Data localisation impacts several domains and has both positive and negative outcomes.

• It can be a driver for investment in local data centres and infrastructure, thereby inducing employment generation and boosting the domestic economy. And in contrast, the compliance costs may rise especially for MNCs that need to maintain multiple data storage systems. 
• It can expedite the growth of local technology ecosystems while encouraging innovation in cloud computing and data storage solutions. On the other hand, small businesses might face struggles to afford the required infrastructure updates and upgrades.
• Law enforcement agencies will be able to gain access to data more swiftly while avoiding lengthy processes such as the Mutual Legal Assistance Treaties (MLATs). However, it should be noted that storing data locally does not automatically ensure that they are immune from attacks and breaches.
• A balance between sovereignty and global partnerships is a challenge that emerges with data localisation. International Trade Relationships are vulnerable to data localisations where countries favour a free data flow. This can hamper foreign collaborations with companies that rely on global data systems.

CyberPeace Outlook

It is important to clear misinformation about data localisation, some strategies that can be undertaken are:

• Launching public awareness campaigns to educate the stakeholders about the real requirements and the benefits of data localisation. Misinformation about data restrictions and security guarantees should be tackled fairly quickly. 
• A balanced approach that promotes local economic development while at the same time allowing for the necessary cross-border data flows and creating a flexible and friendly business environment is important.
• India should work on international frameworks to streamline the process of data-sharing with other nations. This would protect national interests while making global cooperation easier.

Conclusion

Data localisation in India presents a valuable opportunity to enhance privacy, bolster national security, and stimulate economic growth through local infrastructure investment. Yet, addressing common misconceptions is crucial; the belief that all data must be stored domestically or that localisation alone ensures security is misleading. 

It’s vital to pair local data storage with robust cybersecurity measures and foster international cooperation. Supporting small businesses, which may face challenges due to localisation requirements, is equally important. By addressing misinformation, promoting flexible regulations, and working towards global data-sharing frameworks, India can effectively manage the complexities of data localisation, safeguarding national interests while encouraging innovation and economic development. 

References

• https://www.thehindu.com/sci-tech/technology/are-data-localisation-requirements-necessary-and-proportionate/article66131957.ece 
• https://carnegieendowment.org/research/2021/04/how-would-data-localization-benefit-india?lang=en
• https://www.rbi.org.in/commonperson/English/Scripts/FAQs.aspx?Id=2995
• https://www.meity.gov.in/writereaddata/files/Information%20Technology%20%28Intermediary%20Guidelines%20and%20Digital%20Media%20Ethics%20Code%29%20Rules%2C%202021%20%28updated%2006.04.2023%29-.pdf 

Introduction

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The digital ecosystem has undergone a profound transformation due to the rapid growth of artificial intelligence, especially through its generative applications. While this progress has introduced innovative technologies, it has also intensified the risks of deepfakes, misinformation, and identity theft. The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2026, introduced by the Government of India, mark an important step toward stronger digital governance and greater oversight of online activities. These latest amendments establish new regulatory standards and represent India’s most comprehensive effort so far to address synthetically generated information, including AI created audio, video, and images that closely imitate reality.

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Understanding the Core Shift: From Reactive to Proactive Regulation

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The 2026 amendment establishes its main characteristic through its shift from a reactive compliance system to a proactive due diligence system. Intermediaries must now operate as active participants who take responsibility for detecting, marking and controlling dangerous material instead of functioning as neutral channels.  The rules establish an official definition for stands for Synthetically Generated Information(SGI), which they protect through legal regulations, while they address issues such as impersonation scams, election manipulation and non-consensual deepfake content.  The current transition represents a worldwide pattern that shows that governments are starting to make online platforms responsible for the material they display.

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Key Provisions of the IT Amendment Rules, 2026

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1. Mandatory Labelling of AI-Generated Content 

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Platforms must ensure that all AI-generated content is clearly labelled or watermarked to distinguish it from authentic media. Users must reveal their uploaded content's synthetic origin while platforms must confirm the information.

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2. The 3-Hour Takedown Rule

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The most contentious aspect of this regulation establishes new rules that require content removal to be processed within much shorter timeframes.:

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• The government and courts grant three-hour time limits for removing unlawful content.
• The two-hour deadline applies to media that includes non-consensual intimate imagery.

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The current time frame allows content removal within three hours, which represents a major decrease from the previous content removal time, which lasted between 24 and 36 hours, because online misinformation needs urgent attention.

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3. Traceability and Metadata Requirements

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The rules require AI-generated content to include both digital fingerprints and metadata, which enables traceability and accountability through their embedded digital fingerprints. The provision serves as an essential tool for law enforcement to investigate cases while it helps identify which parties generated harmful content.

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4. Safe Harbour Conditionality

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Intermediaries who do not meet the following three conditions risk losing their safe harbour protection through Section 79 of the IT Act:

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• The first requirement demands that intermediaries must implement proper labelling. 
• The second requirement demands that intermediaries must complete their takedown responsibilities within specific timeframes 
• The third requirement demands that intermediaries must complete their due diligence tasks. 

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This development represents a major transition for digital platforms, which will face increased responsibility for their actions.

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5. Strengthened Grievance Redressal

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The amendment establishes two new requirements for platforms. The amendment requires platforms to create systems that operate at all times to monitor their compliance with regulations.

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Significance: Why These Rules Matter

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The 2026 amendments are significant for multiple reasons:

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• The rules require labelling and rapid content removal, which helps to stop the viral dissemination of misleading information.
• The framework provides better identity protection, defamation defence and protection against non-consensual imagery.
• The new rules make intermediaries responsible for their own compliance failures.
• The regulation of AI-generated misinformation protects democratic processes during electoral periods and public discussions.

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The rules demonstrate India's goal to establish international standards for AI governance and digital responsibility.

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Challenges and Concerns

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The amendments present key issues that exist despite their positive aspects:

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• The process of removing content at high speed creates risks for legitimate expression because safeguards need to be established through careful planning. 
• The technical and infrastructural requirements governing compliance create financial burdens for smaller platforms that operate as intermediaries. 

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The existing challenges demonstrate the necessity for a solution that protects both human rights and security needs.

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Conclusion

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The IT Amendment Rules, 2026, establish a critical turning point for India's progress toward digital governance. The framework aims to establish a more secure digital environment through its solution of AI-generated content and deepfake detection problems, which create transparency and accountability issues. The rules will achieve their goals through proper implementation, which requires creating quick enforcement methods that protect both legal processes and free speech rights. The ongoing development of AI technology requires regulatory systems to keep changing while including all citizens and upholding democratic principles. 

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References

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• https://vajiramandravi.com/current-affairs/it-rules-amendment-2026
• https://indianexpress.com/article/legal-news/indias-new-3-hour-deepfake-removal-rule-experts-urge-strict-compliance-10528122
• https://timesofindia.indiatimes.com/technology/tech-news/governments-new-it-rules-make-ai-content-labelling-mandatory-give-google-youtube-instagram-and-other-platforms-3-hours-for-takedowns/articleshow/128157496.cms
• https://www.drishtiias.com/daily-updates/daily-news-analysis/information-technology-amendment-rules-2026
• https://visionias.in/current-affairs/news-today/2026-02-11/science-and-technology/government-notified-the-information-technology-intermediary-guidelines-and-digital-media-ethics-code-amendment-rules-2026

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Introduction

Election misinformation poses a major threat to democratic processes all over the world. The rampant spread of misleading information intentionally (disinformation) and unintentionally (misinformation) during the election cycle can not only create grounds for voter confusion with ramifications on election results but also incite harassment, bullying, and even physical violence. The attack on the United States Capitol Building in Washington D.C., in 2021, is a classic example of this phenomenon, where the spread of dis/misinformation snowballed into riots. 

Election Dis/Misinformation 

Election dis/misinformation is false or misleading information that affects/influences public understanding of voting, candidates, and election integrity. The internet, particularly social media, is the foremost source of false information during elections. It hosts fabricated news articles, posts or messages containing incorrectly-captioned pictures and videos, fabricated websites, synthetic media and memes, and distorted truths or lies. In a recent example during the 2024 US elections, fake videos using the Federal Bureau of Investigation’s (FBI) insignia alleging voter fraud in collusion with a political party and claiming the threat of terrorist attacks were circulated. According to polling data collected by Brookings, false claims influenced how voters saw candidates and shaped opinions on major issues like the economy, immigration, and crime. It also impacted how they viewed the news media’s coverage of the candidates’ campaign. The shaping of public perceptions can thus, directly influence election outcomes. It can increase polarisation, affect the quality of democratic discourse, and cause disenfranchisement. From a broader perspective, pervasive and persistent misinformation during the electoral process also has the potential to erode public trust in democratic government institutions and destabilise social order in the long run.  

Challenges In Combating Dis/Misinformation

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1. Platform Limitations:  Current content moderation practices by social media companies struggle to identify and flag misinformation effectively. To address this, further adjustments are needed, including platform design improvements, algorithm changes, enhanced content moderation, and stronger regulations.

2. Speed and Spread: Due to increasingly powerful algorithms, the speed and scale at which misinformation can spread is unprecedented. In contrast, content moderation and fact-checking are reactive and are more time-consuming. Further, incendiary material, which is often the subject of fake news, tends to command higher emotional engagement and thus, spreads faster (virality). 

3. Geopolitical influences: Foreign actors seeking to benefit from the erosion of public trust in the USA present a challenge to the country's governance, administration and security machinery. In 2018, the federal jury indicted 11 Russian military officials for alleged computer hacking to gain access to files during the 2016 elections.  Similarly, Russian involvement in the 2024 federal elections has been alleged by high-ranking officials such as White House national security spokesman John Kirby, and Attorney General Merrick Garland. 

4. Lack of Targeted Plan to Combat Election Dis/Misinformation:  In the USA,  dis/misinformation is indirectly addressed through laws on commercial advertising, fraud, defamation, etc. At the state level, some laws such as Bills AB 730, AB 2655, AB 2839, and AB 2355 in California target election dis/misinformation. The federal and state governments criminalize false claims about election procedures, but the Constitution mandates  “breathing space” for protection from false statements within election speech. This makes it difficult for the government to regulate election-related falsities.

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CyberPeace Recommendations

1. Strengthening Election Cybersecurity Infrastructure: To build public trust in the electoral process and its institutions, security measures such as updated data protection protocols, publicized audits of election results, encryption of voter data, etc. can be taken. In 2022, the federal legislative body of the USA  passed the Electoral Count Reform and Presidential Transition Improvement Act (ECRA), pushing reforms allowing only a state’s governor or designated executive official to submit official election results, preventing state legislatures from altering elector appointment rules after Election Day and making it more difficult for federal legislators to overturn election results. More investments can be made in training, scenario planning, and fact-checking for more robust mitigation of election-related malpractices online. 
2. Regulating Transparency on Social Media Platforms: Measures such as transparent labeling of election-related content and clear disclosure of political advertising to increase accountability can make it easier for voters to identify potential misinformation. This type of transparency is a necessary first step in the regulation of content on social media and is useful in providing disclosures, public reporting, and access to data for researchers. Regulatory support is also required in cases where popular platforms actively promote election misinformation.
3. Increasing focus on ‘Prebunking’ and Debunking Information: Rather than addressing misinformation after it spreads, ‘prebunking’ should serve as the primary defence to strengthen public resilience ahead of time. On the other hand, misinformation needs to be debunked repeatedly through trusted channels. Psychological inoculation techniques against dis/misinformation can be scaled to reach millions on social media through short videos or messages.
4. Focused Interventions On Contentious Themes By Social Media Platforms: As platforms prioritize user growth, the burden of verifying the accuracy of posts largely rests with users. To shoulder the responsibility of tackling false information, social media platforms can outline critical themes with large-scale impact such as anti-vax content, and either censor, ban, or tweak the recommendations algorithm to reduce exposure and weaken online echo chambers. 
5. Addressing Dis/Information through a Socio-Psychological Lens: Dis/misinformation and its impact on domains like health, education, economy, politics, etc. need to be understood through a psychological and sociological lens, apart from the technological one. A holistic understanding of the propagation of false information should inform digital literacy training in schools and public awareness campaigns to empower citizens to evaluate online information critically. 

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Conclusion

According to the World Economic Forum’s Global Risks Report 2024, the link between misleading or false information and societal unrest will be a focal point during elections in several major economies over the next two years. Democracies must employ a mixed approach of immediate tactical solutions, such as large-scale fact-checking and content labelling, and long-term evidence-backed countermeasures, such as digital literacy, to curb the spread and impact of dis/misinformation.

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Sources

•  https://www.cbsnews.com/news/2024-election-misinformation-fbi-fake-videos/ 
•  https://www.brookings.edu/articles/how-disinformation-defined-the-2024-election-narrative/ 
•  https://www.fbi.gov/wanted/cyber/russian-interference-in-2016-u-s-elections
• https://indianexpress.com/article/world/misinformation-spreads-fear-distrust-ahead-us-election-9652111/ 
•  https://academic.oup.com/ajcl/article/70/Supplement_1/i278/6597032#377629256 
• https://www.brennancenter.org/our-work/policy-solutions/how-states-can-prevent-election-subversion-2024-and-beyond 
•  https://www.bbc.com/news/articles/cx2dpj485nno 
• https://msutoday.msu.edu/news/2022/how-misinformation-and-disinformation-influence-elections 
• https://misinforeview.hks.harvard.edu/article/a-survey-of-expert-views-on-misinformation-definitions-determinants-solutions-and-future-of-the-field/ 
• https://reutersinstitute.politics.ox.ac.uk/sites/default/files/2023-06/Digital_News_Report_2023.pdf 
• https://www.weforum.org/stories/2024/03/disinformation-trust-ecosystem-experts-curb-it/ 
• https://www.apa.org/topics/journalism-facts/misinformation-recommendations 
• https://mythvsreality.eci.gov.in/ 
• https://www.brookings.edu/articles/transparency-is-essential-for-effective-social-media-regulation/ 
• https://www.brookings.edu/articles/how-should-social-media-platforms-combat-misinformation-and-hate-speech/ 

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