The battle between global tech giants and Indian telecom operators over the use of WhatsApp for enterprise messages has taken a new turn. The Cellular Operators Association of India (COAI) has accused companies like Microsoft and Amazon of causing a potential Rs 3,000-crore annual revenue loss by bypassing traditional telecom routes and using WhatsApp instead.
In response to this, major tech companies like Amazon, Google, and Microsoft are now shifting away from WhatsApp for sending one-time passwords (OTPs) to their customers in India. This move comes after Meta, the owner of WhatsApp, introduced new pricing and regulations for international authentication messages.
The shift away from WhatsApp has led to a significant increase in international SMS traffic for Indian telecom operators, with a 50-70% surge in monthly volumes since March. Despite Meta still being the leading contributor, telecom companies are seeing a rise in international SMS volumes from large clients who prefer the reliability and widespread reach of SMS.
Experts believe that the shift from WhatsApp is not just about cost, but also about concerns regarding disclosing primary business locations when sending messages through the platform. The lack of clarity on “international traffic” within telecom regulations has been a point of contention between tech companies and telecom operators in India.
As the new authentication category for OTPs goes live in July, the true impact on the market remains to be seen. This ongoing battle highlights the complex relationship between tech giants, telecom operators, and regulatory authorities in India.