‘Third Way’ Approach in AI Governance

Overview

  • The AI Impact Summit convened global leaders to deliberate innovation and governance pathways. However, the Global discourse reflects confusion over balancing innovation with emerging technological risks.
  • The existing governance models reflect distinct political economies and developmental priorities. The EU emphasises compliance-heavy regulation, the U.S. favours market innovation, while China centralises control.
  • In this scenario, India articulated a ‘Third Way’ governance model suited to Global South realities. 

Steps Taken by India

  • India released comprehensive AI Governance Guidelines in November 2025.
  • The framework integrates regulation with adoption, diffusion, diplomacy, and institutional capacity-building.
  • It prioritises inclusive AI deployment across healthcare, agriculture, education, and public administration.
  • Amendments to IT Rules mandate labelling of AI-generated content. 
  • A three-hour takedown window was introduced for harmful AI-generated information.

Critical Gap

  • Rapid AI adoption risks outpacing labour protection and workforce transition safeguards.
  • Governance models inadequately address worker displacement consequences.
  • Transparency and accountability norms for AI developers remain insufficiently institutionalised.
  • Safeguards for whistleblowers and vulnerable populations remain underdeveloped.
  • Public awareness and citizen agency frameworks remain weak within governance discourse.

Way Forward

  • Develop collaborative research infrastructure among middle powers through shared safety evaluation and risk assessment frameworks.
  • Strengthen public–private partnerships to ensure equitable diffusion of AI gains across developmental sectors.
  • Establish minimum global transparency and accountability standards for AI developers and deploying corporations.
  • Embed labour transition safeguards, reskilling systems, and worker protection frameworks within AI governance architecture.
  • Promote international coordination mechanisms to regulate transnational platforms while safeguarding democratic freedoms.

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