Tata Group looks to revive telco arm with "SuperApp"

Tata Group is set to launch a SuperApp by the year-end which will bring all its products and services into a single app. The onboarding of Tata Teleservices for providing technical solutions to SuperApp is also expected to revive the telco arm's business. Despite a fund infusion worth Rs 46,595 crore in over six years, Tata Teleservices and Tata Teleservices (Maharashtra) are yet in heavy losses. The teleservice platforms have over 19 telecom circles across the country. It also has telecom solutions to customers across wirelines and wireless networks on GSM, CDMA, and 3G platforms.

Tata Group already has its presence online with Tanishq jewellery stores, Titan watches, Star Bazaar supermarkets; a joint venture with Starbucks. It also has Taj Hotels, Westside, Tata Cliq, Tata Sky, Croma, and StarQuik. Thus, Tata Group might club all of these under the online "SuperApp" platform. "The SuperApp will require a technical backbone; Tata Teleservices will be able to provide this service. This will help Tata Teleservices to revive its fortunes," said Business Standard.

Tata Group brings in investments

Tata Group is currently in talks with potential investors to pick up stakes in the "SuperApp". Meanwhile, Walmart could pick up a large piece with a $20-25 billion investment. If this follows through, then the super app could be a joint venture between Tata and Walmart.

Further, Tata Group is looking to bag two board seats and a 20% stake in the potential $200-million deal with Bigbasket. This follows an earlier report that Alibaba-backed BigBasket is looking to raise $150-200 million in growth capital and had appointed Goldman Sachs and Morgan Stanley to help raise the funds.

If it goes through, Tata Group will bring the online grocery store under the umbrella app, too. The app will surely come out. Tata Sons Chairman Chandrasekaran, told the FT earlier, “It will be a super app, a lot of apps in apps and so on. We have a very big opportunity.”