A ban that has set the clock ticking for

Livemint     2nd July 2020     Save    

Context: India needs its own digital champions and the ban on Chinese apps offers a brief opportunity. 

Digital service industry out of mind

  • Civil aviation, automobiles, pharmaceuticals, insurance, banking, retail etc. for which foreign investment and market access has been calibrated minutely. 
  • No limitation has been set on the quantum of access provided to the foreign players in the indigenous digital industry. 

Case study for Digital Service Regulation:  

  • Digital sovereignty: While India exerts its sovereignty on air space with passenger traffic of 170 million, there is a case for similar sovereignty in digital space, which caters far more consumers.
    • For E.g. WhatsApp has around 400 million users in India
  • World over regulation over Digital Service:  
    • The Great Wall of China constrict to and fro movement of information, content and data in China. 
      • It proscribes the use of Facebook, YouTube, Google, Instagram, Wikipedia, Spotify, and Google. 
    • Canada, France and the EU have some heavy-handed content regulations. 
  • Challenge due to free and total geographical access: It provides a substantial advantage to mega-companies while creating a non-level playing field for smaller players. 

Conclusion: The recent ban is a good opportunity for Indian entrepreneurs to quickly rise to fill market gaps.