In this article I tried to understand practical impacts of this DPDP Act towards various industries some in depth and some in summary format.
For a comprehensive understanding, here I present an industry-focused analysis of potential impacts stemming from key provisions of the Digital Data Protection Bill:

Head of IT Controls and BCM
Tata Motors
1. Personal and Sensitive Data (Section 3 & 4): All sectors such as healthcare, banking, and insurance which handle personal and sensitive data will need to redesign their data handling processes to comply. These sections mandate stringent norms for collecting, storing, and processing such data.
2. Data Fiduciaries and Data Processors (Section 10): This will affect IT and data processing outfits. They will have to achieve higher compliance standards and maintain more detailed records.
3. Data Protection Impact Assessment (Section 27): Industries such as advertising and marketing will undergo reformation since they rely heavily on personal data analysis. These new checks and assessments can lead to changes in their business models.
4. Data Transfers (Section 34): IT outsourcing hubs will be affected. They will need to ensure their networks comply with these regulations for cross-border data sharing.
5. Data Localization (Section 40): Multinational industries and global IT companies will have to rethink their data storage strategies and may need to invest in local data centers.
6. Data Protection Officer (Section 54): Companies from all sectors will need to hire or designate a Data Protection Officer, increasing business overheads.
7. Penalties and Compensation (Section 69 & 70): The stringent penalties may increase operational risk for all companies handling personal data. Industries like banking, healthcare, and insurance where personal data handling is more frequent could be adversely affected.
8. Social Media Intermediaries (Section 26): Social media entities and tech giants fall here. They have to implement more user verification protocols and improve their mechanisms for user consent acquisition.
9. Children’s data (Section 16): All industries specifically catering to children (online gaming, edtech etc.) will need to meet the stricter regulations for handling children’s data.
Briefly touching upon sector wise impact
Please note, these are potential impacts based on the clauses, but actual impacts may vary depending upon the industry’s existing data protection protocols and ease of transition to new norms.
1. Captive Manufacturing Industry: Conscious of data breaches, this industry will need to invest more in data protection and cybersecurity systems. Transparency with consumers regarding data handling will become mandatory.
2. Automotive and Connected Vehicle Industry: The bill’s impact here lies in the data collected from connected vehicles. Companies must respect user’s privacy rights, ensuring encrypted transfer and storage of data, increasing R&D and operating costs.
3. Banking Industry: Banks owe customers stronger protections to safely process their financial and personal data. This may require a revisit of existing data handling protocols.
4. Insurance Industry: The policy effect can be substantial, as insurers regularly handle sensitive data. Enhanced data protection measures might additional costs, but could improve customer trust.
5. IT Industry and Offshore Operations: Global data transfer protocols will need scrutiny, potentially disrupting operations. Enhanced compliance requirements could impact profitability.
6. Healthcare Industry: Patient data privacy is crucial and may require strengthening protective systems leading to increased overheads.
7. Blockchain and Web3 Industry: Consumer privacy regulations might present challenges for this technology.
8. Media and Publication Industry: They must adapt to give users control over their personal data, changing the way stories are reported and ads are targeted.
9. Infrastructure and Service-based Industry: Ensured data privacy will escalate operational costs but would be offset by improved public trust.
10. MSME sectors: They may face challenges in adapting due to limited resources. However, complying with the bill would make them more competitive by earning customer trust.
11. Steel Industry: Their digital operations with other stakeholders will need a check, potentially inflating costs.
12. Hotel and Hospitality Industry: Customer privacy will need to be a top priority, affecting how customer service and loyalty programs are administered.
13. Aviation Industry: Airline companies will need to reassess their policies regarding passenger data. The added responsibility of securing such data might see an increase in operational costs.
14. Telecommunication Industry: As they process astronomical volumes of data, they will be hard hit, potentially requiring complete overhauls of systems and strategies.
15. Pharmaceutical Industry: They must now handle patient data with even more caution, affecting trials and research involving human subjects. This might necessitate ramping up of existing cybersecurity infrastructure.
The consequences of this Act should be read in conjunction with the DPDP Rules and thus impact of the same will be varied industry to industry.