A fierce battle is reportedly unfolding between Google and WhatsApp for dominance in India’s Rs 2,500 crore enterprise messaging market. According to a report in Economic Times, the American tech giant is introducing an alternative mobile phone messaging system within the country, potentially disrupting WhatsApp’s stronghold among enterprises for customer communication.
Experts believe this move could significantly impact the broader messaging-based communication landscape in India. Vodafone Idea (Vi) has taken the lead by partnering with Google to offer Rich Communication Service (RCS) messaging to Indian enterprise customers. Industry insiders anticipate that Reliance Jio and Bharti Airtel will soon follow suit.
Google RCS cheaper than WhatsApp
Google’s RCS, priced at nearly twice the cost of traditional enterprise SMS but significantly lower than WhatsApp’s charges, is poised to generate substantial revenue for telecom operators. By adopting RCS, operators can counter the trend of enterprises shifting away from traditional SMS to over-the-top (OTT) platforms like WhatsApp, as highlighted by experts and industry executives.
Airtel, Vodafone-Idea and Reliance Jio have complained about WhatsApp
Telecom companies – Airtel, Vodafone-Idea and Reliance Jio – have previously sought intervention of telecom regulator TRAI to prevent enterprise messaging moving entirely to platforms like WhatsApp. Concerns range from cybersecurity risks to potential revenue loss for both carriers and the national exchequer (estimated at Rs 3,000 crore).
However, challenges remain. India still boasts nearly 300 million feature phone users, and a smaller but significant number of iPhone users lack support for RCS.
The enterprise messaging market, valued at just under Rs 2,500 crore as of March 31, 2023, is poised for growth. As businesses increasingly rely on digital payments and e-commerce, the pie continues to expand.
Vodafone Idea (Vi) has already begun onboarding enterprises for RCS messaging, operating on a 70:30 revenue-sharing model with Google, according to a top telecom executive.
RCS is live in over 95 countries. In December 2023, it rolled out new features after crossing the milestone of 1 billion messages globally, Alphabet CEO Sundar Pichai had said in a post on X.
Experts believe this move could significantly impact the broader messaging-based communication landscape in India. Vodafone Idea (Vi) has taken the lead by partnering with Google to offer Rich Communication Service (RCS) messaging to Indian enterprise customers. Industry insiders anticipate that Reliance Jio and Bharti Airtel will soon follow suit.
Google RCS cheaper than WhatsApp
Google’s RCS, priced at nearly twice the cost of traditional enterprise SMS but significantly lower than WhatsApp’s charges, is poised to generate substantial revenue for telecom operators. By adopting RCS, operators can counter the trend of enterprises shifting away from traditional SMS to over-the-top (OTT) platforms like WhatsApp, as highlighted by experts and industry executives.
Airtel, Vodafone-Idea and Reliance Jio have complained about WhatsApp
Telecom companies – Airtel, Vodafone-Idea and Reliance Jio – have previously sought intervention of telecom regulator TRAI to prevent enterprise messaging moving entirely to platforms like WhatsApp. Concerns range from cybersecurity risks to potential revenue loss for both carriers and the national exchequer (estimated at Rs 3,000 crore).
However, challenges remain. India still boasts nearly 300 million feature phone users, and a smaller but significant number of iPhone users lack support for RCS.
The enterprise messaging market, valued at just under Rs 2,500 crore as of March 31, 2023, is poised for growth. As businesses increasingly rely on digital payments and e-commerce, the pie continues to expand.
Vodafone Idea (Vi) has already begun onboarding enterprises for RCS messaging, operating on a 70:30 revenue-sharing model with Google, according to a top telecom executive.
RCS is live in over 95 countries. In December 2023, it rolled out new features after crossing the milestone of 1 billion messages globally, Alphabet CEO Sundar Pichai had said in a post on X.