Balancing Innovation and Privacy: The Role of AI Governance in Shaping Data Protection Jurisprudence under the Digital Personal Data Protection Act, 2023

Abstract

The rapid integration of Artificial Intelligence (AI) in various sectors has transformed the digital economy, promising unprecedented innovation while simultaneously challenging fundamental rights—most notably, the right to privacy. In response to the growing concerns over data protection and algorithmic accountability, India enacted the Digital Personal Data Protection Act, 2023 (DPDP Act). This paper critically examines the tension between AI-driven innovation and the right to privacy, evaluating how the DPDP Act attempts to balance economic growth and civil liberties. It further explores how Indian courts and regulatory authorities may interpret and implement AI governance principles in light of constitutional privacy jurisprudence. Through a doctrinal analysis, this paper contributes to ongoing debates on AI regulation and proposes a nuanced policy framework for responsible AI governance in India.