Jio to Offer – Home Entertainment, Security / Automation, Connected Car Solutions

Reliance Jio demonstrated its offerings across various ecosystems, such home, automations, payment solutions, entertainment, gaming, education, connected cars etc.

Jio Connected Car Solution
The connect car platform will help automobiles to become Wi-Fi-enabled with the help of Jio hardware. It will also help in providing users with information about car location, switching on the air-conditioner before entering a car and enhance user safety by sending panic alerts and warnings about handling issues, such as, braking hard, driving at high speeds at lower gear, etc.

Jio Home Entertainment / Security / Automation Solution
Jio demonstrated home automation, IoT and

Read more

Reliance Jio 4G Subscriber Base Touches 40 Mn, Positioning as Digital Service Provider

jio-digital-service-providerThe Executive management (including marketing and strategy heads) met with Analysts and discussed current on ground situation, near term execution strategy, strategic vision and market positioning over a 2-4 year horizon. Mukesh Ambani while he outlined his vision & road map suggested that Jio be positioned as Digital Service Provider and not as Wireless Operator.

Jio Subscriber growth has slowed; Welcome Offer could be extended. Jio’s Current subscriber base is round 40 Million [Chasing a Target of 100 Mn] If Jio is unable to achieve this target, there is high probability of extension of the Welcome Offer beyond Dec-16. However, there has not been any official internal communication regarding this. We note that back-end IT issues, poor consumer service and weak distribution network are

Read more

Reliance Jio’s Contrarian Approach to Airtel – Adopts Asset Heavy Model

Contrary to the current trend, Reliance Jio prefers an asset-heavy model. The basic premise is that assets created at a large scale and competitive capital cost provides a long-term competitive advantage through business cycles. Cost-leadership is the core mantra of Reliance Group – this is achieved via capacity creation at a massive scale. For the telecom sector, spectrum and technology are viewed as the two factors of production – the former is scarce and finite whereas technology costs tend to decrease exponentially. So Jio would tradeoff in favour of cheaper spectrum with nascent ecosystem compared to a technology with good current ecosystem.

At launch we estimate Jio to have

Read more

What is the Business Case for Reliance Jio to bundle Cable TV ?

Jio Cable TV BroadbandThe aim of Reliance Jio is to provide not just broadband but other value-added services like cable TV via this highspeed, high-capacity channel. Leverages the massive infrastructure built for the telecom business. Jio has already laid out 250,000 kms of optical fibre across the country to provide high-speed broadband access. However, broadband can only use a small fraction of this capacity. Bandwidth-heavy multi-stream multimedia content is the best way to utilize the available capacity of this resource, which is a sunk cost.

Today the ARPUs for high-speed wired broadband being

Read more

How Reliance Jio Plans to Attack Airtel, Vodafone,Idea ?

Reliance jio Attack Airtel Vodafone IdeaData clearly suggests that top 30% customers account for ~70% of revenues in the India Wireless Industry. In this backdrop we plan to analyze new entrant Reliance Jio Infocomm’s positioning and onslaught on Airtel, Vodafone and Idea to gain high end Wireless Customers as well as snatch away Data customers from Reliance Communications’ NetConnect and Tata DoCoMo Photon Mobile Broadband Consumers.

4G LTE Handset The SmartPhone handset changing cycle is less than 24 months for high end customers. Customer should shift handset (to LTE) is

Read more

Reliance Jio 4G LTE Mega Nation Wide Launch Delayed

Reliance Jio 4G LTE LaunchBased on our Industry & Insider channel checks, we find Reliance Jio Infocomm well placed to meet the rollout obligations by Aug-2015 i.e. they will likely have a soft launch with adequate towers. We believe that the actual launch will be around Dec-15 coinciding with founder Dhirubhai Ambani’s birth anniversary (vs. market expectation of May-15) as the company may take some time to have a good quality network to be operational.

In our independent assesment some of the reasons for the delay in launch vs. our expectations are 1) Time taken to rollout fiber as approvals for right of way (RoW) take time; 2) Rolling out a good quality 2300MHz & 1800Mhz 4G network with offloading via WiFi and Small-cells is taking more time and 3) Jio may look for a good quality voice solution on 4G network like Vo-LTE with the latest acquistion of 800Mhz spectrum rather than a fallback on traditional 2G or 3G network.

If the company is going for

Read more

Reliance Jio Opts for Mega Triple Play (VoLTE, TV, Broadband) Launch

Reliance Jio Triple Play DemoReliance Jio Infocomm will likely have a triple play [Voice, TV and Boadband Data] focusing on full data wallet of subscribers – the launch will likely be in quick, successive phases commencing in 2H2015 [Launch, Bit Delayed]. Reliance insiders tell us that RJio will likely simultaneously launch all its three services – wireless services, wireline fiber-to-home offerings (along with TV market) and wireline services to corporate clients. We think that RJio is being seen laying fiber in most of the large towns currently – for e.g. visible to us in Mumbai – causing the impression that RJio will likely go with fiber-to-home offering initially. However, we believe the fiber is laid out to connect towers so that large amount of data can be routed through fiber across towers for the desired quality.The company will also provide fiber-to-home i.e. the last

Read more

Reliance Jio Get Power of Media Properties after Network18 Buy-Out

Reliance Jio Buys TV18 GroupReliance Industries announced on May 29 that its board has approved the acquisition of a controlling stake in Network 18 Media & Investments, including its 51% subsidiary TV18 Broadcast and associate company Infomedia Press; together the group owns internet properties, e-commerce businesses and broadcast content. The board has approved funding of up to Rs40bn for the acquisition. The deal, to be done through a wholly owned subsidiary of RIL.

With this deal, Reliance Jio moves closer to convergence of telecom, media and internet in its business model, giving

Read more

Reliance Jio 4G-LTE Launch will not Derail 2G Voice Business

Reliance Jio 4G Vs Traditional 2G VoiceReliance Jio Infocomm rollout can, at best, be gradual and, in part, complementary to existing telecom services and not competing and, as such, concerns are overdone about its entry in the 2G Voice Business. To understand this let us first have peek into RJio’s network.

Reliance Jio Infocomm’s Network Infrastructure Build Out
Reliance Jio’s 4G network will be built around 1.8GHz & 2.3 GHz, the company will need to deploy at least 0.15m BTS over next three years to have meaningful presence. In-building coverage will be an additional challenge that Jio faces as both the 1,800 MHz and 2,300 MHz spectrum

Read more

Reliance Jio likely to create 2 Business Units – 4G LTE Monetization

Reliance Jio Infocomm LogoAccording to Analysys Mason, Reliance Jio Infocomm is expected to setup two separate business lines – one for traditional mobile business (competing with incumbent operators) and the other targeting homes (broadband and content distribution platform – competing with broadband players and distribution plays such as Cable and DTH).

Globally, LTE has been monetized either through Selling more data as LTE has higher throughput than other technologies Creating new revenue streams, which involves selling content/ applications (i.e. games, movies on demand, mobile TV etc). A hybrid model is increasingly being employed by telcos for monetizing their 4G networks. Since Reliance Jio is yet to launch 4G services, they are likely to adopt hybrid LTE Model going forward.

Read more