Reliance Jio 4G gaining share from ALL operators

The industry revenue figures for the Jun-17 quarter recently released show headline improvement in market share for incumbents – but that is not representative of customer wallet as Jio has not reported revenues.

While on a Gross Revenue basis, 35-45% of Jio’s market share gains has come from top-3, the improving traffic mix for Jio means ~60% of market share gains on AGR level are from top 3. We believe Airtel has lost at least 80-200 bp market share since Jio’s launch, while Vodafone+Idea have lost 160-240 bp.

Jio is yet to report revenues from the telecom business, and we believe the TRAI reporting primarily captures only the interconnect payments and (more…)

Jio VoLTE Basic Feature Phones for Rural India with 2G Coverage

Reliance Jio was able to acquire 800MHz spectrum in 13 of India’s 22 circles. It is yet to orient this network for rural coverage. The company also signed spectrum sharing and spectrum trading agreements with Reliance Communications to complete pan-India 800MHz spectrum footprint. Jio is awaiting clearance from the Competition Commission of India.

Jio plans to roll out 4G VoLTE-enabled feature phones at Rs 999- 1,800. Insiders report indicate the following about Jio’s 4G feature phones. Jio is looking to launch two variants under the LYF brand. One with a Qualcomm 205 chip and another with Spreadtrum chip. The phone could have the following specifications – 2.4 inch display, 2 MP front and rear camera, WiFi and Bluetooth connectivity. It could have (more…)

Jio’s 4G Subscriber Addition Done – Incumbents Fight Back

Reliance Jio’s net active customer addition slowed down further in April to 0.4m compared to 4.1m in March. This number has been slowing every month since December (13.7m net adds) and indicates to us that majority of customers with 4G devices who wanted to try Jio services are already using Jio and incrementally the customer additions will depend on increase in VOLTE device penetration.

While Jio started charging in April, it had not deactivated the non-paying customers in April and thus some of its subscribers are likely to have (more…)

Reliance Jio – 72 Million Subscribers – Captures 55% of 4G LTE Market

Jio’s announcement of 72 mn Prime membership sign-ups were above our expected 35 Mn. The bigger surprise, however, was Jio’s decision to extend free services by another three months despite now having 72 mn subs who paid `99 one-time charge to express their willingness to pay for Jio’s services from April 1, 2017. Assuming around Rs 250 as likely ARPU from these 72 mn subs, Jio has essentially decided to leave nearly USD800 mn ( RS 54 bn) in revenues on the table.

Jio’s free service offerings, since Sep 2016, get another 3-month extension with a slight twist. The fresh three months’ worth of complimentary (more…)

20% Jio Subscribers Opt for Prime Membership

Reliance Jio Infocomm has enrolled customers on its Jio Prime scheme which requires them to do a one-time recharge of Rs99. Jio Prime allow consumers to opt for one of the following subscription plans (validity is 28 days) after 1 April 2017: (a) Rs149, which offers unlimited voice calls and 2GB of data, and (b) Rs303, which offers unlimited voice and 1GB of data per day and higher price points with more data allowance.

Jio’s two channels have been aggressively promoted: (a) offline, through channels such as retail, specialised sales staff equipped with (more…)

Jio Snatches MarketShare of Youth from Airtel

Mukesh Ambani’s Jio is the main catalyst and the lead operator for the Mobile Data revolution in India. Telecom Analysts conducted a survey of 1000 Indian smartphone users was launched into the market shortly after Jio announced the Rs 303 pricing for Jio prime customers.

43% of the participants in the survey have a Jio SIM, and 25% of the total participants claim this is their primary SIM – in other words 58% of the Jio users are using Jio as their primary operator already (the remainder using it as a secondary SIM). This gives Jio a surprising second place position in term of primary SIM share in the market, second only to Airtel with 29% and above Vodafone and Idea with 19% and 9% respectively.

Jio users tend to be younger, skewing highly (more…)

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