The Indian government is expanding the scope of its anti-theft and cybersecurity initiative to cover both new and used smartphones, an effort aimed at curbing device theft and online fraud, but a move that also raises new privacy concerns.
As part of the expansion, India’s telecom ministry is requiring companies that buy or trade used phones to verify each device through a central database of IMEI numbers. This is in addition to a recent directive instructing smartphone manufacturers to pre-install the government’s Sanchar Saathi app on all new devices and push it to existing devices through a software update.
Reuters reported for the first time Monday’s news, which was later confirmed with a public statement from the ministry.
Started in 2023Sanchar Saathi portal allows users to block or locate lost and stolen phones. The system has blocked more than 4.2 million devices and detected 2.6 million more devices, according to government data. The system was expanded earlier this year with the release of a dedicated Sanchar Saathi app in January, which the government says has helped recover more than 700,000 phones, including 50,000 in October alone.
The Sanchar Saathi app has since gained widespread adoption. The app has been downloaded nearly 15 million times and saw more than three million monthly active users in November — more than 600% from its launch month, according to marketing intelligence firm Sensor Tower. Web traffic to Sanchar Saathi has also grown, with unique monthly visitors up more than 49% year-over-year, per Sensor Tower data shared with TechCrunch.
The government’s order to pre-install Sanchar Saathi has already drawn significant backlash from privacy advocates, civil society groups and opposition parties. Critics support the move extends status visibility to personal devices without adequate safeguards. The Indian government, however, says the order is aimed at tackling growing cases of cybercrime such as IMEI copying, device cloning, fraud in the used smartphone market and identity theft scams.
Responding to the controversyTelecom Minister Jyotiraditya M. Scindia said on Tuesday that Sanchar Saathi is “a completely voluntary and democratic system” and that users can delete the app if they do not wish to use it. The directive reviewed by TechCrunch — and circulated on social media on Monday — instructs manufacturers to ensure that the pre-installed app is “readily visible and accessible to end users when first using or setting up the device” and that “its functions are not disabled or limited,” raising questions about whether the app is truly optional in practice.
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Deputy Telecom Minister Pemmasani Chandra Sekhar he said in media interviews that most major manufacturers were included in the government’s task force on the initiative, although Apple was not involved.
Along with pushing the Sanchar Saathi app, the telecom ministry is piloting an application program interface — or API — that would allow remarketing and trading platforms to upload customer identities and device details directly to the government, two people familiar with the matter told TechCrunch. The move will mark a major step towards setting a nationwide record for smartphones in circulation.
India’s used smartphone segment is expanding rapidly as rising prices of new devices and longer replacement cycles push more consumers towards cheaper alternatives. India it became the third largest market in the world for used smartphones in 2024.
However, 85% of the used phone sector remains unorganized, meaning that most transactions take place through informal channels and through shops. The government’s move only covers official resale and trading platforms, leaving much of the wider used device market outside the scope of the current measures.
While announcing the pre-installation of its app, the Indian government said the move would help in “easy reporting of suspected misuse of telecom resources”. Privacy advocates say the growing data streams could give authorities unprecedented visibility into device ownership — raising concerns about how the information is being used or misused.
“It’s a troubling move from the get-go,” Prateek Waghre, head of programs and partnerships at the Toronto-based non-profit policy think tank Tech Global Institute, told TechCrunch. “You’re essentially looking at every device being ‘database-driven’ in some form. And then what uses of their database can be put to it at a later date, we don’t know.”
The Indian government has not yet clarified how the collected data will be stored, who will have access to it, or what safeguards will be in place as the system expands. Digital rights groups say the sheer scale of India’s smartphone base — estimated at about 700 million devices — means even administrative changes can have far-reaching consequences, potentially setting precedents that other governments may study or replicate.
“While the intent behind a unified platform may be to protect, imposing a single government-controlled application risks stifling innovation, particularly from private players and startups that have historically driven secure, scalable digital solutions,” said Meghna Bal, director at the New Delhi-based technology think tank, Esya Centre.
“If the government intends to create such systems, they must be supported by independent audits, strong data governance safeguards and transparent accountability measures. Otherwise, the model not only compromises user privacy, but also removes fair opportunities for the ecosystem to contribute and innovate,” said Bal.
The planned API also raises concerns for remarketing companies, which could face liability if sensitive customer information is mishandled.
India’s telecom ministry did not respond to TechCrunch’s request for comment.
Waghre noted that while the Sanchar Saathi app is visible on a user’s phone, the wider system it connects to operates largely out of sight. Permissions, data flows and backend changes, including planned API integration, may be buried in long-term and terms-and-conditions documents that most people never read, he said. As a result, users may have little practical understanding of what information is collected, how it is shared, or the extent of the system’s reach.
“You cannot curb cybercrime and device theft in such a disproportionate and heavy-handed manner,” Waghre said.
“The government is basically saying, look, you have to put my app on every device sold, every existing device, you have to install it on anything that’s resold as well,” he said.
