India is considering forcing smartphone manufacturers to share their source code with the government, a move aimed at enhancing cybersecurity and national security under the Digital India Act.
The proposed legislation, part of India’s broader digital overhaul, could significantly impact global tech giants like Apple and Samsung, as well as domestic companies. The government has been reviewing the draft for months, with a final version expected soon. If approved, the new rules would require companies to provide source code and other proprietary information to Indian authorities, a measure that has sparked debate over privacy and technological sovereignty.
Background
The Digital India Act is part of India’s push to strengthen its digital infrastructure and ensure cybersecurity. The legislation is expected to replace the outdated Information Technology Act, 2000, which has been criticized for not addressing modern digital threats. The government has been working on the draft for over a year, consulting with industry experts and stakeholders.
In recent years, India has intensified its focus on digital security, especially after a series of high-profile cyberattacks. The country has also been pushing for greater data localization, requiring foreign companies to store user data within India. The proposed source code sharing requirement is seen as an extension of these efforts to ensure that Indian authorities have greater oversight over digital platforms.
Key Developments
The latest draft of the Digital India Act includes provisions that would require smartphone manufacturers to provide source code to the government upon request. This move is part of a broader effort to ensure that Indian authorities can inspect and audit software for potential security vulnerabilities. Companies that fail to comply could face penalties, including fines or restrictions on their operations in India.
The government has argued that access to source code is necessary to protect national security, particularly in the face of rising cyber threats. However, industry experts have raised concerns about the potential impact on innovation and the competitive landscape. Some companies have expressed fears that sharing proprietary code could expose them to intellectual property risks or give competitors an unfair advantage.
Impact

The proposed legislation could have far-reaching implications for both domestic and international tech companies operating in India. For global giants like Apple and Samsung, which have significant market presence in the country, the requirement to share source code could lead to compliance challenges and increased operational costs. Smaller Indian companies may also struggle to meet the new requirements, potentially affecting their growth and competitiveness.
Consumers could also be impacted, as companies may pass on the costs of compliance to end-users. Additionally, the move could raise privacy concerns, as sharing source code could make it easier for government agencies to access user data. However, the government has insisted that the measures are necessary to protect national security and ensure a safer digital environment for all users.
What Next
The final version of the Digital India Act is expected to be released in the coming months, with industry consultations continuing until then. Once approved, the legislation will likely come into effect within a year, giving companies time to comply with the new requirements. The government has indicated that it is open to feedback from stakeholders and may make adjustments to the draft based on industry concerns.
The proposed source code sharing requirement will be closely watched by tech companies, cybersecurity experts, and policymakers worldwide. If implemented, it could set a precedent for other countries looking to strengthen their digital security frameworks. Meanwhile, India’s tech industry will be preparing for the regulatory changes, which could reshape the competitive landscape in one of the world’s fastest-growing digital markets.
