After expressing its support for data regulation, homegrown decacorn Paytm has now proclaimed that India requires stricter data privacy laws to prevent free movement of user details across the border, especially by global companies that have entered the country’s digital payments space in recent times.
In response to the news of Facebook’s biggest data breaches perpetrated by British big data analytics startup Cambridge Analytica that surfaced last month, Kiran Vasireddy, Chief Operating Officer at Paytm said, “What is important at present is that we as a country do not allow these entities to hijack our data, to be sold and misused for their own gain. It is quite clear that their business model lies around selling of the data in the light of the revelations by Facebook’s founder at the Congressional testimony.”
Calling for more stringent data privacy laws in India, Vasireddy added, “We are not a third world country with respect to digital issues, we do not need western companies to come in with superior technology per say and solve payments for us. These players are into payments not because they want to solve the payments problem in India. They are here because (for them payments) data is the missing point in the puzzle right now.”
Earlier, Paytm founder Vijay Shekhar Sharma had said, “Data or apps need to be regulated to the extent that individuals have privacy, control, and ownership of their data and can control who can or cannot use their data. Right now, there’s neither a privacy law in the country, nor restrictions to corporates who are using that data.”
Sharma and Kiran’s statements come less than two weeks after the RBI asked all payment system operators in the country to store data – pertaining to their customers – within India. The move, it is believed, is geared towards ensuring that user details remain secure against privacy breaches.
As per reports, the payment system companies have been given six months to comply with the newly-released norms.