Google, Meta, Amazon To Pay ₹4 Per Message In India
The global companies like Google, Meta, Amazon, ShareChat & others will have to pay ₹4/SMS for sending msg to you. As the telcos have hiked 25% SMS tariffs for them.
Indian telecom operators have raised SMS tariffs for international companies such as Google, Meta (formerly Facebook), and Amazon by 25%. These global companies will now be charged ₹4 per message when sending SMS to Indian customers.
The decision comes amid concerns raised by overseas companies that Indian telcos, including Reliance Jio, Bharti Airtel, and Vi, overcharge them for sending SMS, including one-time passwords (OTPs), confirmation codes, and other updates to Indian users.
Amazon and Uber have recently reduced their reliance on SMS and increased their communication with Indian customers through apps or emails.
However, international firms have approached the Telecom Regulatory Authority of India (TRAI) to enforce domestic rates for SMS, arguing that their servers are located in India and they have subsidiaries in the country.
Amazon, for instance, has been lobbying the TRAI since 2019, claiming that SMSes sent from its platform are domestic and originate from Indian servers.
The e-commerce giant heavily relies on SMS for various notifications, including login information, financial transactions, and delivery updates.
Meta (formerly Facebook) also spends a significant amount on sending SMS to its Indian audience. In fact, Amazon alone accounts for roughly 20% of international text message traffic, according to The Ken.
In response, Indian telecom operators argue that overseas companies host their applications and user databases outside of India, communicating with servers located within the country.
As a result, they believe international rates should apply to these companies. Currently, Indian telcos charge International Long Distance (ILD) rates to firms like Amazon, Meta, Google, and ShareChat.
This increase in SMS tariffs for global companies highlights the ongoing dispute between international firms and Indian telecom operators regarding the appropriate rates for SMS communication.
While overseas companies argue for domestic rates, citing their servers in India, telcos maintain that international rates should be applied due to the hosting of databases outside the country.