It’s a do or die situation for other telecoms as Reliance Industries Ltd chairman Mukesh Ambani declared war on his competitors yesterday. He spelt out aggressive plans for the much-awaited Jio 4G services. With audacious data plans, tariffs, low-cost Lyf phones, free voice calls for lifetime, Reliance Jio sparks fresh turbulence in the telecom sector.
Ambani announced that Jio will price mobile phone data as low as Rs.50 per GB, and there will be no charges for voice calls and roaming. This is unprecedented and signals a shift in the Indian telecom sector that data is the new voice.
Reliance is targeting 10 crore subscribers within its first year of launch. After Ambani’s speech, shares of telecom incumbents such as Bharti Airtel, Idea Cellular and Reliance Communications nosedived up to 9 percent. All in all, their combined losses amounted to Rs 11,983 crore.