Tata Teleservices revival on the cards for new tech-powered SuperApp

The Tata group is looking at reviving Tata Teleservices by taking the latter’s technical expertise and enterprise solutions for its SuperApp, which is being built.
 

The Tata SuperApp is expected to bring all the group’s products as well as services under one platform and enable sales to consumers directly.
 

The SuperApp is targeted to be launched by December this year.
 

Tata Sons, the group’s holding company, has infused about Rs 46,595 crore since January 2014 into Tata Teleservices and Tata Teleservices (Maharashtra) but has got no returns.
 

After the demerger of its consumer mobile business to Bharti Airtel, the company was left with the enterprise segment, which has earned PBILDT (profit before interest, lease, depreciation, and tax) of Rs 37 crore in the first quarter of the current financial year.

 

For the previous financial year, it had reported an operating income of Rs 1,858 crore and a loss of Rs 13,325 crore.
 

“The SuperApp will require a technical backbone and Tata Teleservices will be able to provide this service. This will help Tata Teleservices to revive its fortunes,” said a source close to the development.
 

A Tata group spokesperson declined to comment. However, an insider said that the talks were in an advanced stage to onboard Tata Teleservices to help in the rollout of the SuperApp.
 

“The group is looking at its strengths — from selling tickets of its own airlines to hotel rooms to groceries via its app — and Tata Teleservices can provide the right technology with its nation-wide network apart from providing a database,” the source added.

TTSL offers wireline data, connectivity, marketing and voice services along with managed services and IoT (Internet of Things) products under the existing enterprise business.
 

Apart from selling goods and services offered by listed entities such as Tata Motors and Indian Hotels, the group will also offer the products of its unlisted entities such as general and life insurance joint ventures, the direct-to-home television business, air tickets, the real estate business of Tata Housing, and electronics retail chains like Croma.
 

Tata Capital, which has a massive retail and corporate loan portfolio, is expected to chip in with payment gateway solutions.

Apart from its flagship Tata Consultancy Services, the group is facing challenges across all its group companies.

Once launched, the app will compete with the Reliance Jio app, which has carved out a significant market across the country.