Tata Communications: Pioneering Global Connectivity and Digital Transformation

Tata Communications Limited is a prominent Indian telecommunications company and a key player in the global digital ecosystem. Originally established as Videsh Sanchar Nigam Limited (VSNL) in 1986, it was privatized and renamed in 2008 following its acquisition by the Tata Group. The company specializes in providing a wide range of services, including cloud solutions, IoT, and secure network services, supported by the world's largest wholly owned subsea fiber cable network, which carries about 30% of global internet routes. Tata Communications serves over 7,000 customers, including 300 of the Fortune 500, facilitating digital transformation and enabling borderless growth across various industries.

This blog aims to provide an in-depth exploration of Tata Communications, shedding light on its dynamic operations, inclusive culture, and streamlined recruitment process. This blog will equip readers with essential tools and knowledge to navigate the recruitment landscape effectively, ensuring they are well-prepared to join a company that champions diversity and fosters a collaborative work environment.

1. Tata Communications Overview

About

AttributeDetails
Founder Government of India
Industry TypeTelecommunications
Founded1986
HeadquartersMumbai, Maharashtra, India

History

Early Years (1986-2007)

  • 1986: Tata Communications was incorporated as Videsh Sanchar Nigam Limited (VSNL) on March 19, 1986, to manage international telecommunications in India.
  • 1995: The company launched India's first publicly available internet services, marking a significant milestone in the country's digital landscape.
  • 2002: The Government of India sold 25% of its stake in VSNL to Tata Group, initiating the company's transition from a government entity to a private enterprise.
  • 2008: VSNL was fully acquired by Tata Group and renamed Tata Communications on February 13, 2008, positioning itself as a global telecommunications leader.

Transformation and Expansion (2008-2015)

  • 2009: Tata Communications launched the TGN-Intra Asia cable system, enhancing its global connectivity capabilities.
  • 2010: The company expanded its service offerings, including the launch of IP Exchange (IPX) solutions for mobile service providers.
  • 2012: Tata Communications completed its global subsea fiber network, establishing a comprehensive infrastructure that connects six continents.
  • 2015: The company achieved significant recognition, winning multiple awards for its innovation and service quality, including the Best Wholesale Service in APAC.

Technological Advancements and Global Recognition (2016-2020)

  • 2016: Tata Communications introduced advanced services such as 100G connectivity and expanded its cloud-based solutions.
  • 2018: The company launched its Internet of Things (IoT) network in India, aiming to create the largest network of its kind.
  • 2020: Tata Communications reported substantial growth, with revenues exceeding INR 17,000 crores, driven by increasing demand for digital transformation solutions.

Recent Developments and Future Outlook (2021-Present)

  • 2021: Tata Communications surpassed INR 20,000 crores in revenue, reflecting a 21.9% growth in the data segment, and continued to expand its product portfolio.
  • 2022: The company announced ambitious emission reduction targets and further integrated its services through acquisitions, enhancing its customer interaction and media services.
  • 2023: Tata Communications aims to double its data revenue by FY27, driven by a robust demand for digital solutions and a commitment to sustainability.

Key Milestones in Tata Communications’ History:

YearMilestone
1986Tata Communications was incorporated as Videsh Sanchar Nigam Limited (VSNL) to manage international telecommunications in India.
1995Launched India's first publicly available internet services, marking a significant milestone in the country's digital landscape.
2002The Government of India sold 25% of its stake in VSNL to Tata Group, initiating the company's transition to a private enterprise.
2008VSNL was fully acquired by Tata Group and renamed Tata Communications, positioning itself as a global telecommunications leader.
2009Launched the TGN-Intra Asia cable system, enhancing global connectivity.
2012Completed its global subsea fiber network, connecting six continents.
2015Won multiple awards for innovation and service quality, including the Best Wholesale Service in APAC.
2018Launched the Internet of Things (IoT) network in India, aiming to create the largest network of its kind.
2021Surpassed INR 20,000 crores in revenue, reflecting 21.9% growth in the data segment.
2023Aimed to double its data revenue by FY27, driven by demand for digital solutions and a commitment to sustainability.

2. Company Culture and Values

Vision

💡
To deliver a New World of Communications to advance the reach and leadership of customers as a global digital ecosystem enabler.

Tata Communications is a global leader in digital communications, driven by a clear vision to deliver a New World of Communications. Their goal is to help customers advance their leadership in the global digital ecosystem.

Mission

💡
To enable enterprises to succeed in the new world of digital (technologies and business models) by being borderless and always available (to the customers and partners).

Their mission focuses on enabling enterprises to thrive in a digital world through seamless, borderless, and always-available connectivity, ensuring that businesses can innovate and succeed across new technologies and models.

Core Values of Tata Communications

💡
Integrity, Pioneering, Excellence, Responsibility, Unity

At the heart of Tata Communications are its core values:

  • Integrity: Acting with honesty and upholding the highest ethical standards.
  • Pioneering: Leading the way with innovation and creating new possibilities in communications.
  • Excellence: Striving for the highest quality and performance in all endeavors.
  • Responsibility: Committing to social and environmental responsibilities.
  • Unity: Working collaboratively to build stronger relationships both internally and externally.

These values guide Tata Communications in transforming global communications and helping enterprises grow.

Source: Tata Communications

Culture at Tata Communications

💡
DRIVE:  Daring, Responsive, Inclusivity, Venturing and Ethical.

At Tata Communications, the core of its mission is to take the world further through ambition, collaboration, and transformation. This philosophy is encapsulated in the acronym DRIVE, which represents five guiding principles shaping their culture and approach:

  • Daring: Tata Communications encourages its team to challenge the status quo, take risks, and innovate together while fostering mutual support.
  • Responsive: Agility is key to decision-making. The company prioritizes responsiveness to customer needs and promotes collaboration across the organization.
  • Inclusivity: Diversity and mutual respect are fundamental to their culture. Tata Communications seeks out and harmonizes diverse perspectives to strengthen its business.
  • Venturing: Curiosity and learning drive the company forward. Employees are encouraged to explore new opportunities and challenge their comfort zones.
  • Ethical: Integrity and trust, rooted in Tata’s philosophy of "Leadership with Trust," form the foundation of the company’s values.

Tata Communications consistently integrates these principles to foster a collaborative and innovative environment that propels its team and customers towards a future of seamless global communications.

3. Comprehensive Product and Service Offerings

Tata Communications offers a comprehensive suite of products and solutions designed to meet the diverse needs of businesses in the digital landscape. Below is a categorized list of their offerings:

Network Solutions

  • Private Lines: High-speed, dedicated connectivity with diverse cable paths.
  • Internet Services: Global tier-1 internet connectivity with access to content providers and users worldwide.
  • Hybrid WAN: Combines public and private networking for predictable internet WAN performance.
  • Cloud Connectivity: Scalable, secure multi-cloud connectivity as-a-service on a software-defined platform.
  • Managed LAN/WAN: Enhances performance, security, and scalability with managed services.

Unified Communications as a Service (UCaaS)

  • Managed Services: Tata Communications GlobalRapide Managed Services.
  • Voice Services: Global SIP Connect for voice communication.
  • Platforms & Applications:
    - Tata Communications JAMVEE
    - Microsoft Teams Solutions
    - Cisco Powered Solutions

Customer Interaction Suite

  • Tata Communications CPaaS: Communication platform as a service (CPaaS).
  • Tata Communications InstaCC™: Contact center as a service (CCaaS).

Cloud & Edge Solutions

  • Cloud:
    - IZO™ Cloud for Enterprise
    - IZO™ Cloud Platform & Services
    - Industry-Specific Cloud Platform & Services
    - Multi-Cloud Solutions
    - Managed Services
  • Edge:
    - Tata Communications CloudLyte: Multi-access edge platform for deploying applications anywhere.

Cyber Security Solutions

  • Security Assessment & Consulting: Governance, risk mitigation, and compliance.
  • Cloud Security: Defense and rapid threat response for multi-cloud environments.
  • Cyber Threat Detection & Response: Automated onboarding, detection, and threat response.
  • Advanced Network Security: Secures web/cloud connections, enhances visibility, and prevents threats.

Connected Solutions

  • IoT Solutions:
    - Tata Communications MOVE™ Global IoT Solution
    - Tata Communications MOVE™ eSIM Hub
    - India IoT Solutions
  • Enterprise Mobility:
    - Tata Communications MOVE™ MVNE Services
    - Tata Communications MOVE™ SIM Connect
    - Tata Communications MOVE™ Private Network
  • IoT Products:
    - IoT Connectivity
    - Enterprise Mobility Management (EMM)
    - Mobile Virtual Network Enabler (MVNE)
    - SIM Connectivity

Carrier Services

  • Hosted & Managed Services:
    - Strategic Sourcing
    - Fraud Prevention as a Service (FPaaS)
  • Wholesale Voice Transport & Termination: International voice transit and termination services.
  • Voice Access Services: Voice access, toll-free services, and local number support.
  • Mobile Services:
    - Enterprise Mobile Messaging
    - 5G Roaming
    - Roampulse Analytics
    - VoLTE Roaming & Interworking Services
    - Signaling
    - A2P Mobile Messaging
    - IPX

Content Delivery Network (CDN)

  • CDN Acceleration Services: Enhances website performance for static and dynamic content.
  • CDN Security: Safeguards website data and customer information from cyber threats.
  • Video CDN: Delivers high-quality video content across platforms (web, app, OTT).

For more information, visit Tata Communications.

4. Financial Performance and Market Position

Bank Stock Performance

Tata Communications, a key player in the communications sector, has demonstrated steady stock growth over the past year. The chart shows consistent upward movement, indicating investor confidence and the company's stable market presence in the telecom industry.

Financial Metrics Table

Tata Communications' financial metrics reveal strong profitability, with healthy gross profit margins and strategic use of debt to fuel growth. The company’s solid return on equity and increasing shareholders' equity per share underscore its operational efficiency and investor value creation.

5. Competitors of Tata Communications

The competitors bring unique strengths and capabilities to the telecommunications and digital services landscape, challenging Tata Communications across various segments and markets.

1. Bharti Airtel

  • Overview: Bharti Airtel is one of India's largest telecommunications companies, providing a wide range of services across mobile, broadband, and enterprise solutions.
  • Services: Mobile and fixed-line telephony, broadband, digital TV, cloud services, and IoT solutions.
  • Market Position: Airtel has a strong market presence in India and is expanding its international operations, making it a formidable competitor in both consumer and enterprise segments.

2. Reliance Jio

  • Overview: Reliance Jio, a subsidiary of Reliance Industries, revolutionized the Indian telecom market with its 4G LTE network and aggressive pricing strategies.
  • Services: Mobile telephony, broadband, JioFiber, and various digital services including entertainment and cloud solutions.
  • Market Position: Jio has rapidly gained a significant market share since its launch in 2016, becoming a leading player in the Indian telecom sector and a strong competitor to Tata Communications.

3. Vodafone Idea (Vi)

  • Overview: Vodafone Idea is a merger of Vodafone India and Idea Cellular, offering a wide range of telecom services across India.
  • Services: Mobile services, broadband, enterprise solutions, and digital services.
  • Market Position: Despite facing challenges post-merger, Vi remains a significant player in the Indian telecom market, competing for market share against Airtel and Jio.

4. BSNL (Bharat Sanchar Nigam Limited)

  • Overview: BSNL is a state-owned telecommunications company that provides services across India, including rural areas.
  • Services: Fixed-line and mobile telephony, broadband, and enterprise solutions.
  • Market Position: As a state-owned entity, BSNL has a presence in most parts of India, especially in areas where private players have limited reach.

5. MTNL (Mahanagar Telephone Nigam Limited)

  • Overview: MTNL is a state-owned telecommunications service provider that primarily operates in metropolitan areas like Delhi and Mumbai.
  • Services: Fixed-line and mobile telephony, broadband, and enterprise services.
  • Market Position: While MTNL has a smaller market share compared to private players, it has a legacy presence in the telecom industry, especially in urban areas.

6. Corporate Social Responsibility (CSR)

Tata Communications has a strong commitment to Corporate Social Responsibility (CSR), focusing on leveraging technology to drive positive social change.

Key Focus Areas of Tata Communications' CSR

💧
Environment
Integrating action on Climate Change, biodiversity, water, and energy into community initiatives and creating partnerships which promote environment restoration and regeneration.
🏥
Healthcare
Ensuring access to quality healthcare services amongst underserved communitites (especially women) and equiping local communities with necessary infrastructure, knowledge and skills to promote well-being for all.
🛠
Sustainable Livelihoods
Empowering youth and rural communities (especially women) economically and socially through vocational, entrepreneurship and life skills training which enhance access to resources, new technology and financial services thereby supporting them in becoming active contributors to the economy.
🎓
Education
Transforming the education system through digital enablement, educators’ training and empowerment, and youth engagement to create exponential social, economic and environmental impact.

Tata Communications undertook several CSR projects in FY 2023-24, focusing on key areas such as education, sustainable livelihoods, and environment.

  • Education: Programs like the School Enrichment Program (Maharashtra) and Karuna Fellowship (Haryana) were conducted.
  • Sustainable Livelihoods: Projects like Skilling the Underserved Youth (Maharashtra, Delhi) and the Lakhpati Kisan - Smart Villages (Maharashtra) aimed at improving livelihoods.
  • Environment: Initiatives such as the Climate Resilient Village Program (Meghalaya) and Project Shashwat (Haryana, Maharashtra) were launched.

For more details, visit Tata Communications' CSR initiatives and policy.

Awards and Recognition for Tata Communications' CSR

  1. Golden Peacock Global Award for Corporate Social Responsibility
  2. Two awards at BW Businessworld The Sustainable World Conclave
  3. Recognized as a Sustainable Organisation by The Economic Times

These accolades underscore Tata Communications' dedication to CSR and sustainability efforts.

7. Learning and Development Opportunities at Tata Communications

Tata Communications places a strong emphasis on learning and development opportunities for its employees to enhance their skills and support the company's business strategy. Here are the key initiatives:

Tata Communications Learning Academy (TCLA)

TCLA is a comprehensive learning platform that provides employees with access to various learning resources, including digital courses, articles, videos, podcasts, books, industry accreditations, and customized learning. It enables employees to skill, upskill, and reskill through a self-paced and continuous learning process.

Key Learning and Development Metrics

  • 112,782 on-demand individual learning person days, which is 35% higher than FY 2019-20
  • 9.46 average learning person days per employee
  • 2,046 targeted skill development initiatives, 38% higher than the FY 2020-21 target
  • 84 Learning & Development Employee Engagement Survey Score

Global Certifications Policy

This policy encourages employees to pursue relevant certifications based on their role requirements or current/future business needs. In FY 2020-21, 3,722 certifications were completed by employees.

Education Assistance Policy

This policy supports employees in advancing their careers by encouraging them to pursue relevant education programs from reputed institutes that align with the organization's and individual's future objectives.

TCare Program

Launched during the COVID-19 pandemic, the TCare program is a virtual well-being initiative that includes various wellness activities. Since its launch in October 2020, over 4,300 employees have participated in the initiatives, and 3,000+ employees attended the weekly webinars. The overall sense of well-being among employees after the SKY happiness program was as high as 4.5/5, and the TCare NPS consistently stood between 89-90 for six months.

Role Skill Academies

These academies focus on developing business-critical skills for key roles, integrating micro, macro, community, and on-the-job learning. In FY 2020-21, 1,600+ employees started their journeys across six academies, with four additional academies planned for FY 2021-22.

For more information, visit Tata Communications.

8. Future Outlook and Strategic Plans

Tata Communications has outlined several strategic plans and future outlooks aimed at driving growth and enhancing its market position.

  1. Margin Improvement: The company seeks to restore its EBITDA margin to 23-25% in the coming years, enhancing profitability through strategic evaluations of its subsidiaries.
  2. Investment in Innovation: Tata Communications is committed to leveraging investments in next-gen technologies to improve network performance and customer experiences.
  3. Integration of Acquisitions: The integration of recent acquisitions, like Kaleyra and Switch, is part of the "Fit to Grow" strategy to enhance its customer interaction suite and media services.
  4. Sustainability Goals: The company aims to reduce Scope 1 and 2 greenhouse gas emissions by 42% and Scope 3 emissions by 25% by FY30, emphasizing sustainability in its growth strategy.
  5. New Product Launches: The launch of Tata Communications IZO™ Multi Cloud Connect enhances its cloud offerings to meet customer needs.
  6. Recognition: Tata Communications has been recognized as a leader in the Gartner Magic Quadrant for Global WAN Services for 11 consecutive years, reflecting its strong market position.

These strategic plans and future outlooks demonstrate Tata Communications' commitment to driving growth, enhancing operational efficiency, and positioning itself as a key player in the global digital ecosystem.

9. Conclusion

Tata Communications stands at the forefront of the digital transformation landscape, leveraging its extensive global network and innovative solutions to empower businesses worldwide. With a commitment to doubling its data revenue and enhancing its EBITDA margins, the company is strategically positioning itself for sustainable growth. Recognized as a leader in the Gartner Magic Quadrant for Global WAN Services for 11 consecutive years, Tata Communications continues to innovate with offerings like IZO™ Multi Cloud Connect. As it integrates recent acquisitions and focuses on sustainability, Tata Communications is poised to redefine connectivity and drive positive change in the digital economy.

Key Takeaways for Aspiring Tata Communications Candidates:

  1. Emphasis on Digital Transformation: Tata Communications is a leader in enabling digital transformation for enterprises, focusing on cutting-edge technologies like cloud, IoT, and security solutions. Candidates should be prepared to engage in innovative projects that drive this transformation.
  2. Commitment to Sustainability: The company has set ambitious sustainability goals, including significant reductions in greenhouse gas emissions. Aspiring candidates should align with Tata Communications' values of environmental responsibility and social impact.
  3. Diverse Learning Opportunities: Tata Communications offers extensive learning and development programs, including the Tata Communications Learning Academy, which provides access to various resources for skill enhancement. Candidates should be eager to embrace continuous learning.
  4. Global Presence and Impact: With operations in over 190 countries and a robust global network, Tata Communications connects businesses to 80% of the world’s cloud giants. Candidates should be prepared to work in a diverse and dynamic environment with a global outlook.
  5. Recognition and Growth Potential: The company is consistently recognized in industry rankings, such as the Gartner Magic Quadrant for Global WAN Services. Aspiring candidates can expect to be part of a reputable organization with opportunities for career advancement and professional growth.

By focusing on these key areas, aspiring candidates can significantly enhance their chances of securing a role at Tata Communications. With dedication and the right approach, candidates can embark on a successful journey with one of the world's leading digital ecosystem enablers.