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Reliance Jio

Autor:   •  February 5, 2018  •  828 Words (4 Pages)  •  808 Views

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people will buy their higher plans. So, currently their pricing is optimally placed to increase their profit. When other companies reduce their prices, it is likely that Jio will also further reduce their prices. And, the unlimited night usage is only valid for hours in-between 2AM and 5AM

Jio has an all IP network, so all voice calls will go through the internet just like skype. It is an outdated system to charge for voice calls. The only costs Jio incurs is some 14 paise which they have to pay as interconnect fee to the operator’s network you called. This should be considered a temporary operational cost. Moreover, TRAI is likely to either further reduce this interconnect fee or make it free in the near future.

Competition

Bharti Airtel

It is Pan India’s largest mobile operator. It has more than 325 million consolidated subscribers across various businesses. Bharti acquired the rights to use 1800 MHz spectrum in 6 circles from Videocon for Rs. 44.28 billion. In July, 2016, Airtel was given clearance by the telecom ministry for the takeover of Aircel’s 4G band in 2300MHz in eight telecom circles.

Vodafone

It has total subscriber of 183 million. Vodafone Plc also used the acquisition route to expand its presence in the mobile business. Company intimated that they are in the process of filing their initial public offer (IPO) in September, 2016. In an attempt to withstand Reliance Jio’s competitive pricing, Vodafone began offering free data under its new 4G data scheme.

Idea

Idea Cellular is the third largest GSM mobile operator and its total mobile subscriber base in March 2016 stood at 175 million. In March, 2016, Idea Cellular and Videocon scraped their spectrum trading deal which they entered into in November, 2015

BSNL

BSNL has fixed-line and mobile telephony (GSM – outside Delhi and Mumbai), data and Internet in 22 circles. It is the largest provider of fixed line services in India. In March 2016, BSNL had 14.8 million fixed line subscribers against 16.4 million a year ago. Company announced a partnership with QuadGen Wireless in June, 2016. This was done with an aim to facilitate over 2,000 cities with Wi-Fi facilities

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