·PIB·15 marks·250–350 words

Indigenous AI chips for surveillance strengthen technology sovereignty but raise civil-liberty concerns. Discuss.

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In this answer
  1. How indigenous AI chips strengthen technology sovereignty
  2. Civil-liberty concerns

The Technology Development Board (DST) has committed ₹130 crore from the ₹1 lakh crore RDI Fund [2] to Project VeerAI. VeerAI is BigEndian Semiconductors' camera-focused AI Vision System-on-Chip, built first for CCTV and surveillance [1]. Such chips strengthen India's strategic autonomy, but they also make mass surveillance cheaper and smarter.

How indigenous AI chips strengthen technology sovereignty

  • Supply-chain resilience: VeerAI's stated aim is to cut dependence on externally developed semiconductor supply chains [1].
  • Trusted hardware in critical infrastructure: cameras guard grids, ports and cities. An Indian-designed chip with on-chip security lowers the risk of hidden backdoors and data leaks [1].
  • Market reach: the chip has a roadmap into defence, automotive, industrial and medical uses, plus exports to the Global South [1].
  • Ecosystem depth: it builds on MeitY's Design Linked Incentive Scheme, which already funds a video-surveillance chip-design project [3].
  • Limit: no Indian foundry has been named, so this is design sovereignty, not full self-reliance [1].

Civil-liberty concerns

  • Pervasive watching: edge-AI lets each camera recognise faces, objects and events by itself. Cheaper smart cameras mean more surveillance, and it analyses people rather than just recording them.
  • Proportionality: K.S. Puttaswamy (2017) made privacy a fundamental right [4]. Surveillance must therefore be lawful, necessary and proportionate. On-chip "privacy features" [1] cannot guarantee this, because the buyer decides whether to switch them on.
  • Legal gaps: the DPDP Act, 2023 [5] lets the government exempt its own agencies. India also has no dedicated law on surveillance or facial recognition.
  • Conflict of interest: through Optional Convertible Debt, TDB may become a shareholder [1]. The state that buys and regulates cameras would then profit from selling more of them.
  • Export risk: many Global South buyers have weak data-protection laws, so misuse abroad could damage India's claim to be a "trusted vendor."

Indigenous AI chips are a strategic necessity, but control over the hardware must come with accountability for how it is used. The way forward:

  • tie later RDI payments to privacy-by-default settings, checked by independent testing;
  • pass a surveillance law built on the Puttaswamy test;
  • add end-use checks on exports.

Then technology sovereignty will strengthen Article 21 rather than weaken it.

Sources

  1. 1PIB: TDB-DST signs agreement with BigEndian Semiconductors for ₹130 crore RDI support to develop indigenous AI Vision SoC (5 Oct 2026): VeerAI aims, CCTV first use, sector roadmap, Global South, privacy/security features, OCD instrument, no named foundry
  2. 2PIB: Cabinet Approves Research Development and Innovation (RDI) Scheme: ₹1 lakh crore RDI corpus
  3. 3PIB Press Note: Design Linked Incentive Scheme: DLI-supported video-surveillance chip-design project
  4. 4Supreme Court of India: Justice K.S. Puttaswamy (Retd.) v. Union of India, W.P. (C) 494 of 2012, judgment of 24 Aug 2017: privacy as a fundamental right; legality, necessity and proportionality test
  5. 5Government of India (Digital India): Digital Personal Data Protection Act, 2023: DPDP framework, including government exemptions

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