Tata Communications bets on three-pronged approach for growth in post-Covid world

Tata Communications is betting on three opportunities that a cautious approach by clients to the pandemic has thrown up, to drive growth. “Our network and security experience will help enable work-from-anywhere for an enterprise employee; our digital expertise will enable e-commerce and video collaboration for superior digital engagement for B2C customers; and our connected ecosystem will allow our enterprises to connect virtually with their vendor ecosystem in the B2B domain,” said Srinivasan C.R., Chief Digital Officer, Tata Communications.

“Our historical presence in the network space now combines with the expertise we have acquired in the digital space,” he said. “Work from home is a reality that could stay with us well after the virus disappears. Employees have to work while remaining safe but effectively and without a let up in tech security.”

“The second opportunity emerges from the business-to-consumer segement. When a prospective buyer is considering purchase of a vehicle but does not want to touch a piece of equipment that someone else has probably touched. He or she wants to avoid infection. How can an automotive company demonstrate a product, and get the customer to bring in his/her family on a video call, via a live video to a showroom and get a feel for the device virtually. With our solutions targeted at the business-to-consumer segment, we can have deliver the experience of having a bonnet or the door opened for a particular view. The focus on online commerce solutions would be the customer satisfaction with the virtual experience.”

The third, area of focus, Mr. Srinivasan said, was to enable a supply chain ecosystem to function without the touch-and-feel that was common before the pandemic. “Earlier, you would have a face-to-face meeting with your partners, get them into a room and talk to them. Now, you can’t do that. How do you get them to connect effectively to your network and exchange information that they would have otherwise done via in-person meetings? Managing the supply chain in the post-Covid scenario where things will remain permanently changed for some companies is an area of opportunity for us.”

On adding capacity, Mr. Srinivasan said that the company had continued to invest in building capacity. “About 30% of the world’s Internet traverses on our routes and we have kept pace with the demand.” He added that the company’s overall capital expenditure for FY20 was Rs. 1,596 crore.

He said that on the back of strong demand, Tata Communications’ India enterprise business grew 6.7% in the quarter ended June, from a year earlier, while the international enterprise segment grew 8.3%.

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