Former Indian Foreign Secretary Nirupama Rao Warns Against Reliance on 'Borrowed Algorithms'

Executive Summary

Speaking at the Asia Economic Dialogue on March 1, 2026, former Indian foreign secretary Nirupama Rao issued a stark warning about the geopolitical implications of technology dependence. She argued that for India to maintain its strategic autonomy, it must develop sovereign capabilities in critical technology sectors, most notably Artificial Intelligence (AI). Rao cautioned that an over-reliance on "borrowed algorithms" from foreign nations could lead to a trade-off where India "may gain efficiency but lose autonomy." Her address framed technological sovereignty not as a commercial goal but as a national security imperative, listing AI, semiconductors, telecommunications, space, and cybersecurity as foundational "sovereignty platforms."

Policy Details

The core of Rao's argument is a call for a national strategy focused on achieving technological self-reliance to navigate a volatile global landscape. This landscape is defined by great power competition, the "weaponisation of interdependence," and fragile global institutions.

Key Policy Points:

• Technological Sovereignty: The ability of a nation to control its own digital destiny by developing and mastering critical technologies, free from the control or influence of foreign powers.
• Sovereignty Platforms: Rao identified specific technology domains that are fundamental to national power and autonomy:
  • Artificial Intelligence
  • Semiconductor Fabrication
  • Telecommunications Architecture
  • Space Technology
  • Cybersecurity
• Risk of Dependence: Relying on foreign technology, particularly in AI, creates vulnerabilities. The algorithms that power AI systems can have embedded biases, be subject to foreign government influence, or be cut off during geopolitical disputes.

Affected Organizations

This policy perspective has wide-ranging implications for various sectors in India:

• Government: It calls for strategic government investment, industrial policy, and R&D funding to build domestic capabilities in these key tech areas.
• Technology Sector: It presents both a challenge and an opportunity for India's tech industry to move from being a service provider to a deep-tech innovator and producer.
• Defense and Intelligence: For the security apparatus, it underscores the need for indigenous systems to avoid backdoors, dependencies, and supply chain vulnerabilities in critical defense and intelligence platforms.
• Foreign Policy: It advocates for a foreign policy that includes diversifying technology partnerships and supply chains to reduce reliance on any single country or bloc.

Impact Assessment

A national strategy centered on technological sovereignty would have profound long-term impacts:

• Economic: It would require massive investment but could also spur significant economic growth, job creation, and the development of a high-value technology manufacturing base.
• Geopolitical: It would enhance India's position as a "pivotal state" capable of acting independently on the world stage, rather than being a passive technology consumer.
• Security: It would reduce the risk of supply chain disruptions and foreign coercion, strengthening national security.
• Challenges: The path to technological sovereignty is capital-intensive, requires a highly skilled workforce, and involves long development timelines. It also risks running counter to global trends of free trade and integrated supply chains.

Policy Guidance

For organizations and policymakers in India, Rao's speech suggests a clear action plan:

1. Strategic Investment: Prioritize and fund long-term research and development in AI, semiconductors, and other identified platforms.
2. Public-Private Partnerships: Foster collaboration between government, academia, and private industry to accelerate innovation.
3. Talent Development: Invest heavily in STEM education and specialized training to build the human capital required for a deep-tech ecosystem.
4. Supply Chain Diversification: Actively work to build resilient supply chains by forming partnerships with a diverse set of countries and investing in domestic production.