Survey finds Indian startups most stressed about data governance rules
A new survey shows that Indian startups are most stressed about data governance and digital trust regulations: 44% of 550 founders, investors, and incubators picked these as their top compliance worries.
Concerns about AI laws, cybersecurity, or platform rules lagged far behind.
For young companies trying to grow fast, these rules are proving especially tough to keep up with.
Compliance costs eating into startup budgets
All this red tape isn't just paperwork. It's expensive.
Nearly 88% of startups surveyed said digital regulations have created operational constraints, and 75% reported higher compliance spending, with most now spending more on compliance than ever before.
Over half report that more than 5% of their operating budget goes to meeting these requirements, which means less cash for launching products or building cool new features.
It's also getting harder (and pricier) to hire talent in areas like data security, and investor confidence is taking a hit as fundraising becomes trickier.