Commercial messages to be traceable from December 1, 2024
Starting December 1, 2024, commercial messages sent by telemarketers or businesses that are not traceable, or do not comply with the new traceability mandate, will be rejected by the telecom system and will not be delivered to subscribers. This directive, issued by the Telecom Regulatory Authority of India (TRAI), is aimed at improving transparency and security in the telecom ecosystem.
Why was this regulation introduced?
The primary goal of the new regulation is to curb spam and phishing threats, especially those involving the misuse of one-time passwords (OTPs). With fraudulent messages and cyber threats becoming a growing concern, TRAI has mandated all commercial messages sent by businesses or principal entities (PEs), including banks, e-commerce platforms and financial institutions, must be traceable. This means the system should be able to track a message from its sender to the recipient.
Initially, the rules were set to take effect on October 1; however, after requests from telecom operators, the deadline was extended first to November 1 and then again to November 30, providing more time to adjust to the new regulations. Operators such as Airtel, Vodafone-Idea and Reliance Jio raised concerns about the challenges posed by these new rules, particularly regarding the transition of messages from banks, telemarketers and businesses that may not have been fully prepared. TRAI’s decision to extend the deadline aimed to strike a balance between regulatory requirements and the operational challenges faced by telecom companies.
What does this mean for telecom subscribers?
For telecom subscribers, this measure is primarily intended to protect against fraudulent messages and phishing attempts. Any commercial message that cannot be verified as traceable will be blocked from reaching users. Given the growing prevalence of spam and fraudulent communications, particularly those attempting to defraud unsuspecting individuals, these regulations will enhance user security and reduce the risk of scams within the telecom industry.
Progress on implementation
As of now, over 13,000 principal entities (PEs) — including banks, e-commerce platforms and financial institutions — have already registered their message chains with telecom providers. Additional registrations are being processed at an accelerated pace. TRAI has confirmed all access providers have successfully implemented the necessary technical solutions for traceability. To further raise awareness and ensure compliance, TRAI has organized webinars with key stakeholders, including representatives from Centre and state government departments, RBI, SEBI and the Insurance Regulatory and Development Authority. Another awareness webinar is scheduled for November 25 in association with Tata Teleservices Ltd (TTL).
Fast-tracking the registration process
As the December 1 deadline approaches, telecom operators are intensifying efforts to comply with TRAI's mandates. This includes optimising internal processes and ensuring their messaging systems are fully aligned with the new requirements. With the deadline fast approaching, stakeholders in the telecom industry are preparing for a significant transformation in how commercial messages are managed and delivered, with a strong focus on improving consumer protection in an increasingly digital world. Telecom operators have also issued numerous warning notices to Principal Entities (PEs) and Registered Telemarketers (RTMs) who have yet to implement the necessary changes. TRAI has emphasized that any message not adhering to the defined telemarketer chain will be rejected.
Consequences for Non-Compliance
TRAI has made it clear that non-compliance with the new regulations will lead to strict penalties. These could include blacklisting offenders, disconnecting mobile numbers and using a blockchain-based platform for monitoring telemarketing calls. Telecom operators have been warned that they must ensure all PEs and RTMs meet the new standards to avoid disruptions in service.
