Jyotiraditya Scindia underscored the importance of the country’s telecom industry in “connecting millions of people in India and around the world” as he took charge as the new Communications Minister. Scindia’s statements indicate a commitment to increasing connectivity across the country. This pledge comes at a crucial time when digital communications are rapidly evolving. An important aspect often overlooked in the push for digital inclusion is the role of business communications in achieving this goal.
Enhancing business communications not only improves economic efficiency, but also extends digital benefits to a broader population, including those who rely on secure and reliable messaging for essential services and economic participation. One such technology that is set to revolutionize digital communications at a large scale is Rich Communication Services (RCS) messaging, a significant improvement over the 30-year-old Short Message Service (SMS) technology currently in use.
For mass digital communications, SMS is still the default method for sharing one-time passwords (OTPs), business messages, and public service announcements. However, this method is outdated and open to security vulnerabilities and inefficiencies. For example, ‘spoofing’ scams occur when bad guys trick users into clicking on harmful links that install malware on their phones. Since SMS technology has no verification of the sender, such attacks are easy. Bad guys can disguise their name to appear as any of the victim’s contacts or important facilities like banks or hospitals.
Due to the countless scams happening in the name of State Bank of India, the government released advisories warning users about SMS-originated attacks in 2023. Additionally, SMS providers do not have the same security protocols to protect their systems and avoid any vulnerabilities. The same protocols ensure base-level security for all users.
RCS runs over mobile data or Wi-Fi and encrypts messages ensuring user privacy. It also verifies users, so only legitimate businesses can contact their customers and use mass messaging services.
Since RCS is based on internet services, it allows users to share multimedia, send longer messages, and receive read receipts. RCS is also native to users’ devices, meaning there is no need to download a new app or create an account. The feature promotes digital inclusion for SMS-dependent users who have not switched to communication apps like WhatsApp or Telegram.
Apps like WhatsApp and Telegram are also encrypted and are more secure than SMS technology. However, these communication apps face vulnerabilities through fake accounts. Creating and verifying an account on these apps is quite easy as it does not need to be linked to the device’s hardware (i.e. SIM card). Hence, it is easy to use the service across devices. Due to the ease of creating an account, hackers and malicious actors often take advantage of this vulnerability.
In contrast, RCS can only be accessed on devices that have a SIM card. Thus, RCS balances traditional and new-age messaging by providing the scale needed for business messaging and the security benefits associated with SIM-card authentication.
RCS is also more secure than SMS for OTPs and other similar messages due to its encryption standards, which ensure that messages are not visible to outsiders. Other RCS features also prevent international spam – a feat that SMS and communication apps are still struggling with. These features include a verification process, the ability for users to report spam, on-device security for spam detection, and the use of AI to identify spam.
The Reserve Bank of India (RBI) guidelines for digital payment security advise banks to follow the highest standard available for protecting financial data. Given RCS’s comprehensive security protocols, it meets this requirement.
Technologies like RCS are integrated with the broader mobile ecosystem and do not require a separate license by the Telecom Regulatory Authority of India (TRAI). Telecom companies are already complying with telecom security regulations like the Telecom Commercial Communications Customer Preference Regulations, 2018, which protect users from unsolicited commercial communications. Therefore, compliance with these regulations is inherent in any RCS messaging service.
RCS has also been adopted by state governments like Kerala and Odisha for mass communication due to its robust features. In Maharashtra, residents use RCS to purchase bus tickets through corporate partnerships.
Technologies like RCS messaging can significantly improve user welfare in digital markets. As we enter a new era of tech governance, embracing innovation for inclusivity and greater user safety is essential.
This article is written by Karnal Singh, Managing Partner, Circle of Counsels and Lalantika Arvind, Advocate and Associate, Koan Advisory Group, New Delhi.
