Explore how mobile apps in 2025 are reshaping digital life—and how evolving laws on privacy, gaming, and AI are keeping them in check. Scroll down to read more!

In 2025, mobile applications are no longer mere digital tools but are deeply embedded in everyday life, influencing communication, commerce, entertainment, and behavior. With over 4.88 billion smartphone users worldwide, mobile apps now actively shape digital trends. As their influence expands, legal frameworks in India and globally are evolving to address concerns around data privacy, consumer protection, and regulation of emerging domains such as online gaming and AI-driven services.

Data Privacy: Personalized but Protected

The increasing reliance on apps for daily activities has prompted legal scrutiny into how personal data is collected, processed, and protected. The Indian Supreme Court’s landmark 2017 decision in Justice K.S. Puttaswamy (Retd.) v. Union of India declared the right to privacy as intrinsic to Article 21 of the Constitution, laying the foundation for stronger data laws.

In response, India proposed the Digital Personal Data Protection Bill, 2023 (DPDP Act), which mandates that apps must obtain informed, specific consent from users before processing their personal data. Users, or “data principals,” are empowered to access, modify, and erase their data, while companies, or “data fiduciaries,” are required to ensure data security, purpose limitation, and accountability. Violations may attract penalties of up to ₹250 crore.

Globally, similar frameworks exist. The European Union’s General Data Protection Regulation (GDPR) and Digital Services Act (DSA) impose consent requirements, profiling opt-outs, and bans on manipulative “dark patterns.” These protections are designed to ensure that personalization—while enhancing user experience—respects autonomy and transparency.

Legal Response to Personalized Algorithms

In 2025, app algorithms predict user preferences with increasing precision. Apps suggest what to watch, where to shop, and even which news stories to read. However, this personalization raises legal issues around profiling, discrimination, and fairness. Under the DPDP Act, data minimization and transparency are key: apps must collect only necessary data, explain how it is used, and cease processing if consent is withdrawn.

European and Indian frameworks now require platforms to disclose how recommendation systems work and allow users to opt out. This shift from opaque “black box” algorithms to transparent models reflects a growing insistence on digital accountability. If data misuse leads to harm—through discrimination, exclusion, or fraud—users can seek remedies through statutory bodies or consumer courts.

Mobile Betting and Gaming: A Legal Grey Zone

One of the most complex areas of app regulation is online betting and gaming. Once a niche, it now attracts mass audiences worldwide. Even apps like the 1xBet Philippines app exemplify how international platforms tap into mobile-first economies, often straddling unclear legal territory.

In India, gambling law is largely governed by the colonial-era Public Gambling Act of 1867, which prohibits games of chance but allows games of skill. Courts have upheld this distinction, with judgments clarifying that games like rummy and fantasy sports are permissible when skill predominates. However, blanket bans by some states on all online games for stakes have faced judicial rejection, notably in All India Gaming Federation v. State of Karnataka and J. Ananth & Ors. v. State of Tamil Nadu.

To regulate this growing sector, India amended the IT Rules in 2023 to prohibit online wagering and created a framework for Self-Regulatory Organizations (SROs) to oversee permissible real-money games. Apps must now register with an SRO, conduct KYC checks, and implement responsible gaming features such as spending limits and self-exclusion tools. Non-compliance can lead to prosecution or loss of legal safe harbor protections.

Comparative View: Philippines, US, and EU

Elsewhere, jurisdictions have responded differently. In the Philippines, PAGCOR regulates gambling and distinguishes between local operators and Philippine Offshore Gaming Operators (POGOs), who serve foreign users. Yet some foreign apps operate without proper licenses, raising enforcement concerns. This has prompted calls for blocking unauthorized platforms and penalizing endorsements.

In the United States, sports betting is state-regulated post-Murphy v. NCAA (2018). Each state sets its own licensing and consumer safeguards. The proposed SAFE Bet Act (2024) seeks to standardize federal protections, including limits on advertising, deposit caps, and AI oversight in betting platforms.

The UK and EU member states maintain strict consumer protections for gambling apps. Requirements include addiction warnings, deposit controls, and bans on misleading promotions. The underlying principle is consistent across borders: enjoyment of online gaming must be balanced with consumer safeguards, especially for vulnerable users.

Progressive Web Apps and Market Regulation

An emerging trend in mobile app distribution is the use of Progressive Web Apps (PWAs). These apps bypass traditional app stores and operate through browsers, offering more flexibility to developers but raising fresh legal challenges.

The legal implications of PWAs revolve around competition law, especially the dominance of Apple and Google’s app ecosystems. In Epic Games v. Apple, courts criticized Apple’s anti-steering rules, requiring changes that allow external payment links. The EU’s Digital Markets Act (DMA) now mandates that gatekeepers permit alternate app distribution channels, including sideloading and web apps.

While PWAs expand consumer choice and lower costs, they also reduce oversight. App stores typically vet for malware and enforce privacy policies. PWAs, lacking this layer, place more responsibility on users and regulators. In India, web-based apps are considered “intermediaries” under the IT Act and must comply with due diligence, content takedown procedures, and grievance redress mechanisms.

AI and Location Data: The Next Frontiers

Artificial intelligence is rapidly being integrated into mobile apps for financial planning, scheduling, and health monitoring. While offering convenience, AI introduces legal complexities. If an AI-driven app mismanages sensitive data or financial decisions, who is accountable? India currently lacks an AI-specific statute, but general principles under the DPDP Act and consumer protection laws apply. Global regulators, like the EU under its AI Act, are setting benchmarks for high-risk AI systems.

Another area under scrutiny is location tracking. Apps frequently request access to precise user locations, raising concerns about surveillance and misuse. Indian and global laws treat such data as sensitive, requiring explicit user consent. Misuse by private apps or state authorities must pass the test of necessity and proportionality, as per the Puttaswamy privacy ruling.

Consumer Protection in Digital Life

The legal approach to mobile apps in 2025 is rooted in a broader shift toward digital consumer protection. From in-app purchases and loot boxes to auto-renewals and privacy settings, users increasingly expect transparency and fairness.

India’s Central Consumer Protection Authority (CCPA) has issued digital commerce guidelines and monitors app practices. Misleading free trials, hidden charges, and fraudulent schemes are now liable to legal action. Furthermore, there’s a growing focus on digital literacy—government campaigns and NGOs educate users about their rights and how to navigate manipulative digital environments.

Conclusion: Law and Apps in Dynamic Dialogue

In the digital age, innovation and law are in constant interplay. Mobile apps in 2025 continue to transform how we live—but also demand robust legal oversight. India and other jurisdictions are responding with legislation like the DPDP Act, enhanced IT Rules, and judicial scrutiny to ensure fairness, transparency, and accountability in digital platforms.

Whether it’s navigating AI risks, protecting location privacy, or regulating betting and gaming, legal frameworks are striving to keep pace. For users, this means better protections and more control. For developers, it’s a reminder that compliance is no longer optional—it’s a core design feature of successful apps.

As legal systems evolve, the goal is clear: empower innovation while safeguarding rights. The apps of tomorrow will be judged not only by their features but by how responsibly they operate in a connected, lawful world.

Mayank Shekhar

Mayank Shekhar

Mayank is an alumnus of the prestigious Faculty of Law, Delhi University. Under his leadership, Legal Bites has been researching and developing resources through blogging, educational resources, competitions, and seminars.

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