AI Governance the India Way: Using Old Laws and Fixing New Gaps to Shape a Global South Template
As the first Global South nation to host the AI Impact Summit this month in New Delhi, India has a unique opportunity to shape the discourse on AI governance. This opportunity is further enhanced by the participation of over a hundred nations, including more than fifteen heads of state, numerous CEOs from the tech industry, and leading AI thought leaders.
Governance Approaches: A Comparative Overview
Governance approaches form a critical component of nations’ overall AI strategies. For instance, the U.S., a leading AI superpower, has adopted a deregulatory approach to AI governance. In contrast, China employs a state-controlled governance model, while the EU implements its compliance-heavy EU AI Act.
India, in its role as a leader for the Global South, seeks to leverage the economic and welfare-centric potential of AI, positioning itself differently from the Global North. Thus, India can offer an alternative AI governance model that is both pro-innovation and risk-conscious.
Existing Laws and Regulatory Gaps
Rather than enacting new AI-specific laws, India has initiated its domestic AI governance journey with the AI Governance Guidelines (November 2025), advocating the application of existing laws to manage AI risks. For areas not covered by existing legislation, India aims to address regulatory gaps through targeted amendments.
Examples of existing laws that India is applying to address AI risks include:
- The Information Technology Act and Bhartiya Nyaya Samhita for dealing with impersonation via deepfakes.
- The Digital Personal Data Protection Act to counter unauthorized use of personal data for training AI models.
However, the success of this governance model hinges on India’s ability to identify and rectify regulatory gaps unique to AI-related challenges.
Addressing Copyright Law Gaps
A significant regulatory gap in India’s copyright law pertains to:
- The use of copyright-protected content for training AI models.
- The copyright protection of AI-generated works.
After consulting the industry, the Department of Promotion of Industry & Internal Trade (DPIIT) released a working paper (December 2025) recommending a hybrid model. This model proposes a mandatory blanket license for AI developers to use lawfully accessed copyrighted works for training AI systems, coupled with retroactive compensation rights for copyright holders.
However, the recommendations pose several implementation challenges:
- The suggestion to reverse the burden of proof could expose AI developers to an influx of frivolous litigation.
- The proposed royalties based on global gross revenue might lead to duplicative liability across jurisdictions.
- The recommended establishment of a government body to set compensation rates lacks substantive criteria, introducing financial unpredictability.
Labelling Obligations for Synthetically Generated Information
Another significant challenge unaddressed by existing laws is the spread of misinformation through synthetically generated information (SGI). On February 10, 2026, India’s IT Ministry notified amendments to the IT (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021.
The amendments reflect constructive feedback from the industry:
- The definition of SGI has been refined to exclude good faith editing activities.
- The percentage-based labelling requirement has been replaced with a focus on “easily noticeable and adequately perceivable” labelling.
Despite these improvements, some requirements could still concern the industry, such as tightened compliance timelines for content takedown orders.
Iterative and Consultative Approach for AI Governance
While India has begun addressing regulatory gaps for AI risks, its current suggestions face implementation challenges. It is critical for the government and industry to maintain ongoing consultations and iteratively refine these recommendations.
As India draws global attention at the AI Impact Summit, it must demonstrate that adhering to existing laws can serve as a feasible model for the Global South. The insights gained from India’s experiences, particularly in copyright law and SGI, will be invaluable for other nations in the Global South.
