The Microsoft-Nyara Energy incident has reignited debate over India’s digital sovereignty as recent developments reveal the ongoing impact of geopolitical risks on domestic critical infrastructure. On August 14 and 15, 2025, it emerged that Microsoft suspended its cloud services to Nyara Energy following EU sanctions on Russian-linked entities, raising new alarms about the reliance of Indian companies on foreign technology providers. The move, which temporarily disrupted Nyara’s business operations, highlighted concerns about state-influenced corporate decisions affecting India’s economic and security interests. Experts and industry groups have urged the Indian government to fast-track efforts to bolster indigenous digital platforms, promote open-source alternatives, and negotiate robust terms with global tech firms to safeguard the nation’s strategic autonomy in an increasingly volatile digital landscape.