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CS Professional · Artificial Intelligence, Data Analytics and Cyber Security - Laws and Practice · Artificial Intelligence - Introduction and Basics

A Hyderabad retailer uses facial recognition at store entrances to identify repeat customers and stores the face templates without informing visitors. From a legal and technology perspective, which statement is most accurate?

Face templates identify individuals, so they are personal data, and the retailer as data fiduciary must give notice and obtain valid consent under the Digital Personal Data Protection Act, 2023. Treating them as anonymous, shifting duty only to the vendor, or claiming private premises exemption is wrong.

  1. AFace templates are biometric data used to identify individuals, so collecting them without notice or consent raises data protection compliance concerns under the Digital Personal Data Protection Act, 2023Correct
  2. BFace templates are anonymous statistics, so no personal data obligations arise
  3. COnly the algorithm vendor, not the retailer, can have any obligation
  4. DThe practice is exempt because the images are collected in a private shop

Explanation

Face templates allow identification of a specific person, so they are personal data, and the retailer deciding the purpose and means is the data fiduciary. Collecting them without notice and consent raises compliance concerns under the DPDP Act, 2023. The anonymity argument fails because the templates identify individuals, and a private premises gives no exemption.

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