Is there a risk to privacy while using Aadhaar everywhere? Infosys' Nandan Nilekani has the answer

Is there a risk to privacy while using Aadhaar everywhere? Infosys' Nandan Nilekani has the answer

Nandan Nilenkani emphasised that there is no central storage hub for all the data related to the places and transactions where one discloses their Aadhaar number.

Advertisement
    Share:
Nandan Nilenkani at BT MindrushNandan Nilenkani at BT Mindrush
Aakanksha Chaturvedi
  • Apr 27, 2023,
  • Updated May 9, 2023 8:45 PM IST

Nandan Nilekani, the co-founder of Infosys and the former Chairman of Unique Identification Authority of India (UIDAI), government body that was responsible for the implementation of Aadhaar in India, addressed the growing concerns around privacy when using Aadhaar while speaking at Business Today’s Mindrush event on Wednesday.

Nilekani emphasised that there is no central storage hub for all the data related to the places and transactions where one discloses their Aadhaar number.

Advertisement

Also WATCH: How Nandan Nilekani paved the way for ‘great Indian IT story’; All about the BT Lifetime Achievement Award winner

"If you're opening an account in a bank, the data is in the bank and the bank is under privacy regulations under the RBI. If you use it for a health application, it's in the health system, so it's all distributed. It's not like stored in one central place, that's when the risk is," Nilekani explained.

He also pointed out that Aadhaar does not collect any data on how it's used, adding, "If you use it to open a bank account, the other system does not know what you did with it, and we call that as optimal ignorance. We don't want the system to know more than it should know, and so all these design principles have made it pretty secure from a privacy point of view."

Advertisement

However, Nilekani acknowledged that privacy and cybersecurity are still concerns, but maintained that they are "par for the course" in driving digital transformation at scale.

It is worth noting that the Aadhaar system has faced criticism and legal challenges regarding privacy violations from time to time, but Nilekani's remarks highlight the system's design principles and distributed approach to data storage as measures to address these concerns.

The former Chairman of UIDAI also noted that although privacy is important, the implementation of systems like Aadhaar are pivotal in driving digital transformation at scale.

“If you want to drive digital transformation at scale, this is the only way you can do it," he added.

Also Read: TCS, Infosys, Wipro: Are huge bench sizes dragging down Indian IT majors? - BusinessToday

Advertisement

Also Read: TCS, Infosys, HCLTech: Hirings drop up to 78% in FY23 at major IT companies - BusinessToday

Nandan Nilekani, the co-founder of Infosys and the former Chairman of Unique Identification Authority of India (UIDAI), government body that was responsible for the implementation of Aadhaar in India, addressed the growing concerns around privacy when using Aadhaar while speaking at Business Today’s Mindrush event on Wednesday.

Nilekani emphasised that there is no central storage hub for all the data related to the places and transactions where one discloses their Aadhaar number.

Advertisement

Also WATCH: How Nandan Nilekani paved the way for ‘great Indian IT story’; All about the BT Lifetime Achievement Award winner

"If you're opening an account in a bank, the data is in the bank and the bank is under privacy regulations under the RBI. If you use it for a health application, it's in the health system, so it's all distributed. It's not like stored in one central place, that's when the risk is," Nilekani explained.

He also pointed out that Aadhaar does not collect any data on how it's used, adding, "If you use it to open a bank account, the other system does not know what you did with it, and we call that as optimal ignorance. We don't want the system to know more than it should know, and so all these design principles have made it pretty secure from a privacy point of view."

Advertisement

However, Nilekani acknowledged that privacy and cybersecurity are still concerns, but maintained that they are "par for the course" in driving digital transformation at scale.

It is worth noting that the Aadhaar system has faced criticism and legal challenges regarding privacy violations from time to time, but Nilekani's remarks highlight the system's design principles and distributed approach to data storage as measures to address these concerns.

The former Chairman of UIDAI also noted that although privacy is important, the implementation of systems like Aadhaar are pivotal in driving digital transformation at scale.

“If you want to drive digital transformation at scale, this is the only way you can do it," he added.

Also Read: TCS, Infosys, Wipro: Are huge bench sizes dragging down Indian IT majors? - BusinessToday

Advertisement

Also Read: TCS, Infosys, HCLTech: Hirings drop up to 78% in FY23 at major IT companies - BusinessToday

ABOUT THE AUTHOR

Aakanksha Chaturvedi

I am a multimedia reporter working across Business Today properties, at the India Today Group.

I break stories for BusinessToday.in and write longform analytical pieces for the Business Today Magazine.

I also report for India Today TV's the Business Today Show and the Tech Today Show.

I am the youngest reporter with a cover story in the Business Today magazine (most widely read Indian business magazine). I am also the youngest reporter covering business news on TV.

I have previously worked with International Business Times (US edition) and Coin Crunch India. I graduated with a degree in mass media from Mithibai College, Mumbai in 2021.

Leads and tips- aakancvedi@gmail.com/ aakanksha.chaturvedi@aajtak.com
Twitter/instagram/reddit- aakancvedi

Read more!
Advertisement