Due to current state of AI R&D & maturity of ecosystem (manufacturing, tech, academia), India would be relying on foreign tech for the entire "AI supply chain" from chips to models to apps, till the time the domestic industry ramps up to be considered suitable alternatives at each level of the "AI supply chain".

There are different "AI regulatory models" across the major powers of the world e.g. EU's protectionist and user-privacy model, US's light-touch models where the onus lies on corporates, China's state centric & domesticated technology model where individual surrenders practically all rights to the state - being the 3 primary models.

While it would be in India's best interests to adapt to foreign-tech from allied companies in the near term, our regulatory model should mostly be similar to EU, given the risks to its citizens and businesses that can arise from these AI models.

  • Graded risks & state involvement with AI risks being classified into: Unacceptable risks (threat to safety, livelihood & rights of people); High risks (related to education, employment, justice etc.) subject to strict governance & approval before its publicly available; Limited risks (e.g. chatbots); Minimal risks (e.g. Instagram filters). State will allocate capacity for market surveillance for in-market technologies
  • Citizen data being protected & hosted within the borders of India. As different users & businesses feed data for their respective needs, the models learn & store this data. Such data should be under strict data localisation policies
  • Transparency from the AI models & applications with the latter mentioning the sources referenced to arrive at the answer, in their responses. Applicable to both consumer and business use-cases for AI
  • Strengthening Intellectual Property laws since AI-generated artwork and code are still fuzzy in terms of ownership & patent restrictions. Legal fraternity, civic society and the state's legal capacity should work together to define, update, enforce on AI-generated work
  • Setting up National AI committees & dispute redressal forums bringing different stakeholders identified in the stakeholder analysis slide together. Civic society, local companies & general public can play a crucial role in formulating a more citizen-friendly and local business-friendly AI strategy, that boosts nation productivity & economic output. The public & businesses also play a crucial role in reporting serious incidents and malfunctioning in these forums