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India Govt plans rule for encrypted data access

January 13, 2012

Service providers will have to place servers in India to ensure data is not leaked out of country

The India government has proposed a legal provision that puts the onus uniformly on companies such as Skype Technologies SA and Google Inc​. to locate part of their information technology (IT) infrastructure within the country to enable investigative agencies ready access to encrypted data on their servers.

Further, to guarantee privacy, this legal provision will also require that data of Indian citizens, government organizations and firms hosted on the servers of these companies not be moved out of the country, three government officials confirmed separately.

At present, the servers of all service providers are located outside the country and whatever data is generated or exchanged travels to the respective country. If servers or similar facilities are located in India, then data exchanges within the country would stay there.

Source  India Govt plans rule for encrypted data access

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