India, Jan. 15 -- Over a month ago, the Indian government mandated that every new phone sold in the country would come preloaded with Sanchar Saathi, a state-backed app to curb telecom fraud and trace stolen devices.

The move sent shockwaves through the Indian smartphone ecosystem. What followed next was a swift pushback from the industry, following which the central government quietly scrapped the order.

As the new year began, another flashpoint emerged. According to a media report, the government is considering a sweeping set of 83 security standards for smartphone makers. The directives include mandatory source code disclosure, 12-month log retention, and the government's pre-approval for updates at the level of operating systems.

W...