INDIA Law and Practice Contributed by: Shivalik Chandan, Hardik Choudhary, Dhruv Singh and Arjun Khurana, G&W Legal
cies overseeing this area. In February 2016, TRAI issued the Prohibition of Discriminatory Tariffs for Data Services Regulations, which prohibits ISPs from offering or charging discriminatory tariffs for data services based on content (ie, different websites or services). In 2018, following TRAI’s recommendation, the DoT issued the Regulatory Framework on Net Neutrality, imposing strict net neutrality princi - ples on ISPs. The DoT enforces these regula - tions through ISP licence agreements. Entities in the telecommunications sector must ensure non-discriminatory access for all users, providing a level playing field for all online ser - vices and applications. Non-compliance with these regulations results in penalties for ISPs. 6.3 Emerging Technologies Emerging technologies are actively shaping the legal landscape in the country, and the laws gov - erning these technologies have been discussed in previous sections. As highlighted in 3. Artificial Intelligence , the Indian government has intro - duced new directives and guidelines to address the evolving AI landscape. These include both proactive laws for generative AI and reactive measures to combat issues such as deepfakes and dark patterns. The development of modern wireless technolo - gies like 5G has also led to the introduction of new laws. The Telecom Act, for instance, facili - tates the smoother auction and allotment of 5G spectrum. As noted in 6.1 Scope of Regulation and Pre-Marketing Requirements , the Tele - com Act allows for the assignment of spectrum through an administrative route for certain pur - poses, such as testing and trials of new technol - ogies and the creation of regulatory sandboxes.
These can be used to test both 5G and 6G wire - less technologies. Although primarily aimed at overarching issues and not industry-specific, the DPDPA and the new data protection regime in India will also impact emerging technologies like IoT imple - mentations. This includes more stringent com - pliance requirements relating to personal data, enhanced penalties, and a specific regulatory authority to address contraventions under the law. 7. Challenges with Technology Agreements 7.1 Legal Framework Challenges Essentially, while it may be viewed as an over - simplification, a technology transfer agreement is a contract that enables the movement of data, know-how and intellectual property from one organisation to another. The considerations discussed herein are of note while engaging in technology transfer agreements in India. Foreign Exchange Regulation Previously under the FEMA (Current Account Transaction) Rules 2000, remittances for tech - nical collaboration above a particular thresh - old required government approval. However, through a series of moves aimed at easing busi - ness, these rules were relaxed. Foreign licensors should, however, be conscious of the fact that the Foreign Exchange Manage - ment (Guarantees) Regulations 2000, framed under the Foreign Exchange Management Act 1999, do not automatically permit an Indian licensee or its owners to provide a personal or corporate guarantee to a non-resident without seeking permission from the RBI. There will be
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