Bharat Sanchar Nigam Limited (BSNL), the state-controlled telecom operator, has phased out its Personalised Ring Back Tone (PRBT) service for enterprise customers, replacing it with a forward-looking plan to introduce an AI-driven, ad-funded model. This strategic shift aims to boost user engagement and open new revenue streams, but it has sparked concerns among enterprise clients, particularly those in closed user groups (CUGs).
Why BSNL Ended PRBT for Enterprises
Last month, BSNL discontinued its PRBT service, a feature that allowed enterprise customers to customize ringback tones for their subscribers. The service was popular among large organizations with bulk connections, including public sector giants like Syndicate Bank, Canara Bank, Coal India, Oil and Natural Gas Corporation (ONGC), and Madhya Pradesh Police. The abrupt closure led to a surge in customer queries at BSNL call centers, as affected users sought clarity on the sudden change.
The decision reflects BSNL’s broader strategy to modernize its offerings and align with evolving market demands. The telco is moving away from traditional services like PRBT, which have limited revenue potential, toward innovative, technology-driven solutions that leverage artificial intelligence and cloud infrastructure.
Introducing the AI-Driven, Ad-Funded Model
BSNL has issued a Request for Proposals (RFP) to develop an AI-backed, ad-funded platform to replace the PRBT service. According to BSNL Chairman A. Robert J. Ravi, the new platform will be a “customer-driven, cloud-native or AI-driven” solution, seamlessly integrated with streaming and over-the-top (OTT) applications. The ad-funded model will focus on dynamic content targeting to enhance user engagement, offering personalized experiences while generating revenue through advertisements.
This move is part of BSNL’s efforts to transform its business model and compete in a market dominated by private players like Reliance Jio and Bharti Airtel. By leveraging AI, BSNL aims to deliver tailored services that resonate with users, while the ad-funded approach could reduce costs for subscribers and create a sustainable revenue stream for the telco.
Impact on Enterprise Customers
The discontinuation of PRBT has significantly affected enterprise customers, particularly those in closed user groups (CUGs). These groups, which include major public sector organizations, relied on PRBT as part of their bulk connection packages. The sudden withdrawal disrupted their operations, prompting complaints and inquiries. For instance, organizations like Canara Bank and Madhya Pradesh Police, which use BSNL’s services for internal communication, faced challenges in adapting to the change.
BSNL has acknowledged the inconvenience but defends its decision, emphasizing the long-term benefits of the AI-driven model. The telco believes the new platform will offer superior functionality and value, not only for enterprise clients but also for individual subscribers.
BSNL’s Vision for the Future
BSNL’s shift to an AI-led, ad-funded model aligns with its broader revival strategy, supported by a ₹1.64 lakh crore government package announced in 2022 to enhance 4G and 5G services. The telco is investing in modernizing its infrastructure, as evidenced by its recent trials of Direct-to-Device technology with VIASAT and the launch of OTT services in collaboration with platforms like Lionsgate and ShemarooMe.
The new platform is expected to integrate with BSNL’s Bharat Fiber (FTTH) offerings, which provide high-speed internet, IPTV, and VoIP services. By combining AI-driven personalization with ad-based revenue, BSNL aims to create a competitive ecosystem that caters to India’s growing demand for digital content and connectivity.
Challenges and Opportunities Ahead
While the AI-driven model holds promise, BSNL faces challenges in executing this transition smoothly. The telco must address customer dissatisfaction, particularly among enterprise clients, and ensure the new platform delivers on its promises. Additionally, BSNL’s ability to compete with private operators will depend on the quality of its AI technology, the effectiveness of its ad-targeting strategy, and its ability to scale the platform nationwide.
However, the move also presents significant opportunities. An ad-funded model could make BSNL’s services more affordable, attracting price-sensitive customers. The integration with OTT apps and streaming services could also position BSNL as a one-stop solution for connectivity and entertainment, potentially regaining market share lost to private competitors.
Conclusion
BSNL’s decision to discontinue its PRBT service for enterprise customers marks a bold step toward modernization, with the proposed AI-driven, ad-funded model signaling a new direction for the telco. While the transition has caused disruptions for CUG subscribers like Syndicate Bank, Canara Bank, Coal India, ONGC, and Madhya Pradesh Police, BSNL is betting on personalized, cloud-native services to drive growth. As the telco rolls out its innovative platform, its success will hinge on balancing customer needs with cutting-edge technology, all while navigating a fiercely competitive telecom landscape.
Stay tuned to The ExpertSK blog for updates on BSNL’s transformation and its impact on India’s telecom sector!
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