TRAI implements traceability framework for commercial SMS; aims to combat spam, enhance consumer trust

The Telecom Regulatory Authority of India (TRAI) has taken a significant step in its ongoing efforts to create a safer, spam-free messaging environment by successfully implementing a traceability framework for all commercial SMS. This move is expected to enhance transparency and accountability in the commercial messaging ecosystem, providing consumers with a more secure and reliable messaging experience.

The new framework requires all Principal Entities (PEs), including businesses, banks, and government agencies, along with their Telemarketers (TMs), to declare and register their message transmission paths through blockchain-based Distributed Ledger Technology (DLT). This system ensures end-to-end traceability of every commercial message, from its origin to its delivery, while maintaining high levels of data security and preventing delays in message delivery.

TRAI issued a directive on 20 August 2024, mandating the traceability of all commercial messages beginning 1 November 2024. Recognizing the scale of the task, TRAI extended the compliance deadline first to 30 November 2024, and then to 10 December 2024, to accommodate the smooth onboarding of approximately 1.13 lakh active PEs across a range of sectors, including banking, insurance, healthcare, and real estate.

In its implementation strategy, TRAI adopted a collaborative approach, working closely with key sectoral regulators such as the Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI), Insurance Regulatory and Development Authority of India (IRDAI), Pension Fund Regulatory and Development Authority (PFRDA), and government agencies like the National Informatics Centre (NIC), Centre for Development of Advanced Computing (CDAC), and various state governments. This collaboration aimed to raise awareness and expedite the declaration and binding process for PEs and TMs.

Access Providers also played a vital role in supporting PEs and TMs, offering technical guidance and outreach campaigns to ensure seamless integration into the DLT system.

During the initial enforcement period, TRAI introduced a unique strategy to minimize disruptions. While the chain binding regulations were technically enforced, messages sent through undeclared paths were temporarily allowed but flagged with error codes. These error codes were sent to the concerned PEs to prompt corrective actions, ensuring that time-sensitive communications such as OTPs remained uninterrupted. This consumer-centric approach ensured minimal service disruption while maintaining regulatory compliance.

As of 11 December 2024, all major PEs have successfully registered their message transmission chains with Access Providers. SMS traffic sent through unregistered paths is now being rejected, marking the successful culmination of this ambitious project.

This initiative is a part of TRAI’s broader strategy to combat spam and improve consumer trust in telecom services. In addition to the traceability framework, TRAI has introduced several other anti-spam measures, including the disconnection of telecom resources used by spammers, URL whitelisting in SMS, and the migration of 140-series telemarketers to DLT platforms.

TRAI's efforts continue to drive innovation and enforce stringent measures aimed at ensuring a transparent and secure telecom ecosystem for all users. The successful implementation of this traceability framework marks a significant milestone in TRAI's commitment to reducing spam and protecting consumers from unwanted commercial messages.