September 14, 2025

Hold on tight, India! The Global Trade Research Initiative (GTRI), a sharp think tank focused on trade, has raised a red flag. It warns that India’s love affair with US technology — like software, cloud services, and social media — is a dangerous trap. Why? This heavy dependence could put India's economy and security in jeopardy, especially when the world’s political storms blow. Imagine if suddenly the US cuts off digital services or blocks access to crucial data. It could cause chaos in banking, government work, and even defence. "A U.S.-ordered cutoff could instantly paralyse digital payments, tax filings, and government services nationwide," GTRI bluntly states. The think tank points out, “India is dealing with a major external shock -- the United States has imposed 50 per cent tariffs on most Indian goods -- but a far deeper strategic risk lies in its digital dependence on U.S. technology firms.” Indian phones, computers, and key government and defence systems largely run on US technology, making the country vulnerable. To fight back, GTRI suggests a bold plan: launch the "Digital Swaraj Mission" by 2030. This mission aims to make India self-reliant in operating systems, cloud services, cybersecurity, and even social media. Taking a cue from China and Europe — who are busy building their own digital empires — the report warns, "India risks falling behind in tech sovereignty." Here's the kicker: India's treasure trove of data is its strongest bargaining chip. But for now, this treasure fuels US AI giants and ad businesses. Some top policy experts tell GTRI that India should treat its data like oil or rare minerals—precious and strategic. By insisting on local data storage, taxing digital transactions, and developing its own AI, India could turn data into power in trade, tech, and security talks. The risks go beyond just tech tools. "Social media platforms and their algorithms, largely controlled by U.S. companies, can influence public discourse," warns GTRI. Without homegrown control, India's democracy could face fake news and social discord on steroids. So, what’s the game plan? In the short term (1-2 years), the Indian government should require sovereign cloud hosting for critical data, start a homegrown operating system project, and try switching key departments to Linux. In the medium run (3-5 years), the aim is full migration to Indian software and strong public-private cybersecurity teams. Then, long term (5-7 years), India should match global cloud power, ditch foreign operating systems in defence and vital sectors, and build open platforms that can compete globally. “India has the talent and the market to build sovereign capability,” GTRI says confidently. “Just as UPI and ONDC changed the world of payments and commerce, we can do the same for core digital infrastructure.” The final word from GTRI? "In an era of tariffs, sanctions, and technology wars, sovereignty will be measured not just by territory or GDP but by 'who controls the code.'" The call is loud and clear: India must craft a strong, secure digital backbone now—or risk being switched off in tomorrow’s world. Meanwhile, India and the US are haggling over an interim trade deal with tough talks ongoing. India's concern is clear especially when the US demands open market access to sectors like agriculture and dairy. It’s a digital and trade battle brewing, and the stakes are sky-high!

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Tags: India sovereign cloud, Us technology dependence, Digital swaraj mission, Gtri report, India tech sovereignty, Data security,