Mr Rajan Mathews, Director General, COAI the Lobby of
A-Vo-Id Telecom Operators reacted as follows to Mukesh Ambani's Reliance jIo Launch.
The
Price points offered by JIO are competitive, and it is a challenge for the incumbents ? their product offering strategies to protect the market share should be watched. If Jio is able to get users at Rs 499, then it is going to be beneficial for the industry as it will push up the ARPU for the other incumbents.
Interconnect charges (14p/min) will be a revenue source for Airtel / Vodafone / Idea and other operators. Since Jio will be offering VoLTE, it will need more spectrum to support robust data quality.
Preview period starting from September 5, 2016 will be
deemed commercial launch and CCI might probe into it because it is being provided free of cost.
Most of the costs (like SUC, license fees, network cost, and employee expense) will be similar to incumbents; hence, it is unlikely that JIO will continue to operate at aggressive price points.
