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Analysis

TeleAnalysis writes analytical stories on the telecom industry. It analyses the Indian as well as global telecommunication industry, the mobile phone industry, smartphone industry and the communication industry as a whole. It also does analysis on various digital platforms, social media, the impact of social media on human lives and how it is affecting the human race on a broader perspective. Basis various analysis that we do in TeleAnalysis, we come out with periodical reports and studies around the communication industry. Our analytical stories have found mention in multiple of respected and influential publications, both domestic as well as international.

Analysis

Dear Incumbent Telcos, Don’t Crib, Bring Simplified Tariff Plans Like Jio

confused-tariff-plans

For the last 6 months, there’s a lot of brouhaha around Reliance Jio’s free offers and the incumbent operators’ incessant accusation of how the new operator is killing competition in the Indian telecom market. The richest 4G start-up has also been accused of being responsible for the bloodbath in the world’s second largest data-hungry Indian market. But what the incumbents have failed to notice in the success of Jio is its simplified tariff plans, besides the freebies.

While all the allegations against Jio at CCI has fallen flat, there is something that the new operator has done right from the day one that the incumbents and the so-called pioneers of Indian 4G have failed to do, even today. A simplified tariff structure, kind of tariff plans, be for voice or data, that the customers can understand like 2×2 equals to 4. And not a kind of tariff plans that the customer needs a notebook to jot down the ‘ifs’ and ‘buts’ associated with it. Say, for Rs 11 recharge, the customer gets 1 day validity, 200 MB data, 50 free calls, 35 free SMS, but for Rs 17 recharge, he gets 235 MB, 99 free calls, and 100 SMS. And, then, post the quota limit or FUP, the customer will be charged 4 paisa per 10 kb data etc.

As a consumer, choice is always good, but if the choices are confusing it also drive them away. Apart from offering freebies during initial launch phase and very attractive rates later, one of the distinctive feature of Jio has been very simple plans. Jio is offering packs with validity e.g 1 day for Rs 19, 3 days of Rs 39 and so on in these packs there is no risk of overcharging as call, SMS and data are all unlimited.

Too Many Plans
On the other hand, the incumbent operators, be it Bharti Airtel, Vodafone India or Idea Cellular, all are offering more than 100 tariff plans, starting at Rs 5 and then with the increase of every rupee, it gives you different benefits. While a Rs 5 recharge might offer you calling, may be a Rs 6 recharge will offer you a ring tone and some other subscription. You make 1 rupee mistake while recharging and you end up with something you never wanted. Or, something you wanted but missed!

Pricing Is Confusing Too
Let’s take some examples of tariff plans offered by various operators. A Rs 21 recharge on Vodafone gives you 1GB data for 1 hour, Rs 14 recharge will give you just 50MB for a day but for Rs47 you get 1GB for a day. Similarly, Airtel offers 600 MB data for Rs 149 for 2G/3G users but in Rs 149 a 4G handset user will get 2GB data and unlimited Airtel to Airtel calls. Why? Because Reliance Jio is not competing in 2G and 3G space.

Even in case of 4G offerings, tariff plans are confusing and a little difference in pricing offers huge difference in benefits. For example Rs 349 gets you unlimited calling and 1GB data per day for 28 days, but just add Rs 50 to that and you will get same benefit for 70 days.

If you look at the pricing there is not much difference between Airtels Rs 399 pack of 70 days and Jio’s Rs 309 pack of 84 days, both offer unlimited voice and data during validity period. Airtel also has huge advantage of better and more mature network coverage and yet people consider Jio to be much cheaper.

We-will-fleece-if-you-are-not-vigilant approach
If the internet usage of India was lagging despite 900 million people were already on board on India’s mobile network a few months back, a major part of the blame goes to the these three Indian telecom biggies – Airtel, Vodafone and Idea. And within just 6 to 8 months of Reliance Jio’s entry, India became the highest data consuming country in the world.

vodafone-data-rate

It’s just not because Jio offered data for free, it also because Jio’s plans removed the fear factor of bill shock from the data users. They never thought ‘what will happen if my data quota is over’. Jio standardised data consumption whereas incumbents did not stop themselves from fleecing the customers. See it how!

Shockingly, the penalty for overshooting the data quota you bought across the three main incumbents is Rs 4000 per GB. For them the base price of 10KB of data is 4 paisa! You will be charged at that rate if your data consumption goes beyond your quota, and if you are not on a ‘unlimited’ plan. Well, users need to do a tight rope walk with that kind of price differential.

In the age of 4G where we are talking about 1 to 10 Mbps speed and social networking on every phone, every second of data will cost you anywhere between Rs 10 to Rs 100. This pricing was also one of the main reasons why data usage in the country was not taking off, and that is where Jio played the master stroke and users embraced the unlimited high-speed data offerings from the new operator compared to the incumbents.

What Incumbents Need To Do
Instead of cribbing over Jio’s free offers, the incumbents should do a self-assessment and put in place how to retain their customers. And the first step they can do towards that is by simplifying their tariff plans. They can commoditise data. They can keep a fixed rate for data and it should not vary much for KB, MB or GB. In fact, they should ideally have only two units for data – MB and GB, and price it accordingly. Say, Rs 10 or Rs 20 per GB. Second, if customers consume their data, they should be allowed to buy more data as per the unit price, and the pricing should not be different than the base price, unlike current practice.

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AnalysisWearables

How Qualcomm Drives An Industry That Can Generate $11 Tn Value A Year

qualcomm-iot-platforms

Be it academia, technology visionaries or research analysts, all are in unison in acknowledging the potential of this industry that is going to rule the next centuries of businesses. So much so that this industry is capable of generating revenue of $11 trillion per year by 2015. Yes, we are talking about the world of internet of things or IoT and tech major Qualcomm understands it best.

Not long ago research firm McKinsey had estimated that the economic impact of IoT can range between $4 trillion a year to $11.1 trillion a year, or 11% of the world economy, in next 8 years. This value can be accrued in multiple of industry verticals including manufacturing, healthcare, smart cities that encompasses public safety, traffic management and resource planning, retail, transport, homes and offices.

The industry enabled by internet of things or IoT is going to connect everything making it internet of everything or IoE. The connectivity and its size can be judged by the the estimated devices that are going to beconnected to the internet in times to come. It is estimated that more than 20 billion devices, from a world having 6 billion people, are going to be hooked to internet by 2020.

This estimate can be verified by the recent announcement by Qualcomm that said the company is currently shipping more than 1 million chips per day for the IoT to meet challenging customer requirements for interoperability, connectivity, compute and security.

“We are focused on significantly expanding capabilities at the edge of the network by supporting everyday objects with the connectivity, compute and security technologies required to build a powerful Internet of Things, where devices are smart, convenient, work well together and incorporate advanced security features,” says Raj Talluri, senior vice president, product management, IoT, Qualcomm Technologies.

The San Diego based technology major’s chips are currently being used in IoT products in areas including wearables, voice and music, connected cameras, robotics and drones, home control and automation, home entertainment, and commercial and industrial IoT.

“While hundreds of brands have shipped over 1.5 billion IoT products using our solutions, we are just getting a glimpse of the benefits that the IoT can deliver, with analysts estimating that IoT applications could have a total economic impact of up to 11 trillion dollars a year by 2025. We have built strong capabilities on top of our leadership in mobile inventions, and we are innovating in exciting new areas such as deep learning, voice interface and LTE IoT that will power a new generation of IoT devices,” adds Talluri.

From the perspective of building the foundation of the IoT industry, Qualcomm has been leading this industry from the front. For example, its wearables platforms have been adopted in more than 150 wearable designs, and over 80% of Android Wear smartwatches launched or announced are based on Snapdragon Wear 2100 platform. In smart homes, more than 125 million TVs, home entertainment and other connected home products from leading brands have shipped using Qualcomm Technologies’ connectivity chips.

From an industrial IoT point of view, over 30 designs are using Qualcomm’s MDM9206 modem with multimode support for LTE categories M1 and NB1, E-GPRS and global RF bands.

The company perhaps offers one of the broadest portfolios of chips and platforms to address this wide variety of ecosystems, form factors and requirements in the IoT including mobile, multimedia, cellular, Wi-Fi and Bluetooth system-on-chips. Aprt from chips and platforms, Qualcomm also offers comprehensive software with platform-specific applications and APIs, as well as support for multiple communication protocols, operating systems and cloud services.

Besides the chips for various products, Qualcomm also has developed more than 25 IoT reference designs to assist manufacturers in developing IoT devices quickly and cost-effectively in the areas of voice-enabled home assistants, connected cameras, drones, VR headsets, lighting, appliances and, smart hubs and gateways.

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AnalysisIndustryNews

When TRAI Shuts Up COAI As Bluntly As Possible

trai-rs-sharma

The professional relation between telecom regulator, TRAI, and telecom operators’ association, COAI, is not at the pink of health for quite some time now, precisely since the birth of Reliance Jio. While COAI had, in the past, accused TRAI of bias and working under pressure from the Mukesh Ambani-led firm, the sector regulator had, so far, maintained restraint from hitting back.

However, last week, the regulator, in an unprecedented manner, conveyed the telecom operators association to be in its limits.

In a recent case between operators Vs TRAI over a PoI issue, the regulator, having its Chairman in R. S Sharma, told the Department of Telecom, that COAI does not have any role to play in the ongoing interconnect issue and its interference in this matter is not required to be entertained by the regulator.

“At the outset, the Authority would like to assert that COAI does not have any locus-standi on the issue of interconnection matters,” TRAI said in a communication to DoT.

The case pertains to Jio’s application to TRAI where it accused that the incumbent operators Bharti Airtel, Vodafone and Idea Cellular were not providing enough PoIs (points of interconnect) to the new entrant which is affecting the QoS (quality of service) of its customers. The regulator, finding merit in the case, had imposed a penalty of Rs 3050 crore on the three telcos on the same.

COAI, represented by its member operators, had written a letter to TRAI challenging the recommendation, and DoT had sought responses from the regulator on the said letter.

“It is an issue between operators and association has no role to play,” TRAI stated very clearly.

TRAI said this in a letter to DoT standing by its earlier recommendation of imposing a penalty of Rs 3050 Cr on Bharti airtel, Vodafone India and Idea Cellular for not providing PoIs to Jio which is a violation of India’s cellular license rules.

The regulator has rarely been seen as blunt as this while responding to letters, be it from DoT, COAI or others. But this response of TRAI could be because the regulator seems to be too miffed by the frequent accusations from the association about its functioning.

In September last year, the COAI had accused the regulator of working under pressure from Reliance Jio when the regulator did not invite the association to participate in a meeting between with the operators.

“COAI has been kept out of the TRAI meeting at the insistence of RIL Jio, and TRAI acquiesced to their demand in an unprecedented manner,” CAOI DG Rajan Mathews had said then.

The regulator, then, had asked the association to retract the statement and apologize, which the association felt of ‘no need’.

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AnalysisNewsSecurity

WannaCry Ransomware : Hoax Vs Facts; No Dancing Hillary Videos

wannacry-ransomware-hoax

The WannaCry Ransomware has wrecked havoc across the world since last Friday and enterprises and government agencies are on their toes since last three days to minimize the impact. Besides, they are going all the way to take steps not to repeat the attack in their organisations.

Though the attack was real, and one of the biggest in recent times, some fraudulent social media posts and WhastApp messages are creating more panic among less-aware users than it deserves.  The hoax messages range from not to use shopping sites, online banking to using ATMs as possible traps of the ransomware.

More than the actual attack of the WannaCry Ransomware, which held to ransom millions of computers and businesses worldwide demanding ransom to be paid in bitcoins worth $300 to unlock the data, it is the hoax creating more panic among users.

We bring you some of these hoax messages and also offer you the facts around it. eScan research team unravels the truth behind these hoax messages to bring you the truth behind the messages.

Here are some of the clarifications to ensure you do not fall prey to these texts:

  • Message : RBI orders Shutdown of ATMs until they are patched and safe.
    Status: Hoax
    Fact : RBI has issued clarification that they haven’t issued such orders.
  • Message : Avoid using ATMs and Do not do any online transaction
    Status: Hoax
    Fact : Any computer system infected with Ransomware would display the message that it has been infected.
  • Message : Don’t do any online transaction. Don’t open any Shopping cart.
    Status: Hoax
    Fact : Webserver infected with Ransomware would simply be not able to serve the pages. Shopping carts do not store Ransomware. However, while browsing and downloading software make sure that these executable are scanned by an antivirus.
  • Message : Except Africa all countries IT companies are hacked.
    Status: Hoax
    Fact: No explanations required cause its 100% fake news. Such events when IT organizations get hacked are published all over the internet, TV channels etc. These news pieces aren’t just limited to your limited group of friends.
  • Message : Dance of the Hillary video
    Status: Hoax.
    Fact : There is no such video existing
  • Message : Power off smart TVs, tablets, and every other smart device.
    Turn off Bluetooth, WiFi, tethering (also known as Hotspot) on your mobile phones.
    Switch off your servers (or any other computers that you may leave on 24×7.
    Disconnect LAN (network, CAT6, CAT5) cable plugging computers or laptops in the network. If it is a laptop, it may have a physical slide switch or button press to switch off WiFi card inside the laptop – Switch That Off. if possible, wait for news from eastern world

         Status: Hoax
Fact : This simply means that we should lead the life of an ascetic.

So far the ransomware has affected more than 50,000 computers across 75 countries including India. The attack was so damaging that in UK it had affected the National Health Services of the country and has stalled critical health care services like surgeries and emergency attention.

The WannaCry ransomware affects the computer systems and asks the user to pay a ransom of $300 in Bitcoins to restore access to the systems or its data.

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AnalysisNews

With Jio’s Entry, Indian Telecom Creates History

Reliance_Jio_makes_history

Reliance Jio’s launch in September made the Indian telecom market did what it had never done in its history. When the country felt the market is saturated and there is no scope for more subscriber additions, Reliance Jio created history with the highest net subscriber addition in any single month.

There was a time in the Indian telecom space when the country used to add 15 to 20 million customers every month and it had become a global talk point then. Telecom companies world over sat up and took notice of a market that has the potential to be the largest market for telecom products and solutions.

The phenomenon got a new definition since Jio’s entry to the Indian telecom space.

The Mukesh Ambani-led 4G operator helped India add an unbelievable 28.7 million new subscribers in the Month of October – just a month after Jio announced its free offer. Though this may not have added much to the India’s total tally of customers but it certainly shows that there still lies a potential market that can be tapped if lucrative and value for money services are offered.

Subscriber Addition Since Jio Launch

Jio_subscriber_addition

Reliance Jio opened its services for public in the first week of September, and that month itself saw 20.84 million subscribers added to India’s telecom network and needless to say, almost all of them joined Jio.

The next month, October, was the record breaking month of Indian telecom history. In October, 2016, a total of 28.7 million mobile subscribers were added. In other way, it can be said, the entire population of Malaysia became mobile in a single month!

The previous record was made in November 2010 when India had added 22.87 million customers a single month.

And the momentum went on till February. The new 4G operator helped the country added 135.15 million customers in just six months -from September to February – adding average of 22.5 million customers every single month!

Contrast that to six months prior to Jio’s launch.

Since the beginning of the financial year, from April to August 2016, untill Jio was available, the net subscriber addition was in negative. In that 5 months, India’s mobile subscription was degrowing and a total of -5.46 million customers were offloaded from their telecom network.

However, this does not mean, these over 5 million customers disconnected their services completely. Most, rather, all of them possessed dual connections and they might have unsubscribed to one of their operator’s services.

What Next?

So far so good. Jio might have acquired 120 million new subscribers in this short period but acquiring customers is not biggest challenge- retaining them is. So far Jio’s services were free, hence user addition was not the headache. When incumbents have started opening up their wallets to match the free offerings provided by Jio, and started adding value to their new offerings, the 4G operator may face a herculean task in retaining the 100+ million customers it has snatched from other telcos.

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AnalysisDevicesNews

Micromax To Discontinue YU Mobiles Brand, Read Why

yu-mobiles-rahul-sharma

Sad but true. YU Mobiles, the ambitious smartphone brand, almost solely created by Rahul Sharma – co-founder of Micromax, is being shut down. Company insiders say the brand is being discontinued as the parent company, Micromax, has failed to find any differentiating value for YU Mobiles.

It can be recalled that the smartphone brand that was born in late 2014 and had launched four smartphones in last two years, has not launched a single device for almost a year now. The last smartphone from YU Mobiles – Yunicorn – was launched in late May 2016.

Post Yunicorn, the company could never develop a product road map for YU nor find any value for this brand.

YU Mobiles did not offer any replies to our queries on the discontinuation of the smartphone brand, and Rahul Sharma’s response was not convincing.

“Just wait and see,” he said.

But we have confirmation from sources, some current employees and few ex-employees of the firm – all belonged to the firm’s decision making body – that Micromax has already discontinued YU Mobiles. The manpower and other units of YU have been merged to the parent company.

On products level, there ares till some units left to be sold but customers are not buying the YU branded phones as  the operating system that run on these devices – CyanogenMod – has been closed and stopped offering anymore services or updates since December last year.

What Went Wrong?
“It was a wrong and whimsical decision at the first place,” says a source who has been a part of the decision making body at Micromax. YU was not born by then.

The source under conditions of anonymity said none of the founding members of Micromax, except Rahul Sharma was in favor of carving out another brand from Micromax.

The Gurgaon based company by late 2014 was a formidable force in Indian mobile phone space and commanded the top position among domestic mobile vendors and was much ahead of its competitors like Lava, Karbonn or Intex. The company, then, was number 2 in smartphone sales, just below Samsung, and was selling huge volumes of feature phones that propelled its volume market share.

“None of us find any value in creating one more brand, when the time was to consolidate our position in the market,” the source added.

But Rahul, the source added, convinced the team that ‘online’ is a market yet to be tapped by Micromax and the company can create one more revenue source if a separate brand is solely created to be distributed through the online retail distribution channel. Motorola’s re-entry to India and its success in the online channel was cited as one of the examples in the late evening meeting.

The team, however, was still not convinced and even was not ready to put money in a new venture, when the discussions were going on to invest money in setting up its manufacturing plant.

The source said Rahul took the onus on himself and created the brand with holding 99% stake in the newly formed firm, YU Televentures Pvt. Ltd, and two other co-founders – Vikas Jain and Sumeet Arora, jointly holding just 1% share. Vinamra Shastri and Sachin Jain joined the board after more than a year.

Creating Differential Value

Ambitious as it may sound, YU wanted to project itself as a completely different brand from Micromax by bringing some sort of innovation, while the reality was none of the smartphone makers of these days, and more precisely the Indian ones, have so far failed on bringing any innovations to their product portfolio.

But to convince the company, the industry, and its prospective customers, YU projected three differentiating factors – online-only brand, CyanogenMod as OS and connected ecosystem.

Unfortunately, going ahead, the company failed on all these three value points.

The company’s first smartphone Yureka was launched in January 2015 with the promise to be online-only brand but within a year – by November 2016, YU fell back to traditional offline stores with its partnership with Reliance Retail.

On connected ecosystem too, the company could not make any mark besides bringing some run on the mill products like health and fitness bands. The company launched products like YUfit, HealthYu to monitor physical activities including running, sleeping heartbeat, blood pressure etc. These products did not get expected results as there was no substantial value for users. YU also launched a portable printer – YUpix and a powerbank – jYUice, in the later part of the year.

Shutdown Of Cyanogen

This was the last nail on the coffin for YU. Rumors were around by second half of 2016 that CyanogenMod, the OS of Cyanogen is nearing a closure, and YU’s smartphones were based on Cyanogen OS.

And by December 2016, Cyanogen – whose CEO had once made an audacious statement that it will ‘put a bullet through Google’s head’ was found lowering its shutters, and the OS was officially shut down from 31 December, 2016. And this left device makers that are based on CyahogenMod scratching their heads. OnePlus survived but YU was no OnePlus.

Nothing Left For YU

After the launch of Yunicorn, the company’s last smartphone, it was expected that YU will bring its next device around October, then it was pushed for December 2016. But after the closure of Cyanogen, it is believed, the company has pushed itself to the end and a formal announcement may never come.

Now What…

Now, the parent company Micromax is solely focusing on Micromax products. And the management felt this is the need of the hour as the company has been loosing grip on its market position to slew of Chinese brands including Vivo, Xiaomi and Oppo. In IDC’s latest quarterly mobile tracker report, none of the Indian phone makers were featured in the top 5. From Micromax perspective also, the company is not doing good as it had not launched a single flagship product in the last 3 quarters. As recent as last month the company launched a new product, Dual 5, putting it in its premium category devices and expects to gain its lost glory.

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AnalysisNationalNews

Jio Effect: Over 60% Idea Users Stopped Using Data

Jio-effect-idea-cellular

A recent report suggests that more than 60% of Idea Cellular subscribers have completely stopped using its data services after Reliance Jio made its entry to the Indian telecom space – one more example of the ‘Jio effect’ on the Indian telecom space.

Its now no secret that Reliance Jio had had a hammering effect on the incumbents, and that too from all aspects, be it usage or revenue, and then, impacting the overall market share. While Jio made a big dent on incumbents’s revenues by offering free voice calls, which has been the mainstay of the incumbents’ revenue – a whooping 70%, the new operator has also affected the data revenues of the oldies and biggies by a significant margin.

A study by UBS found that 33-61% of users have completely stopped their data usage on incumbents networks after they subscribed to Jio.

“The biggest hit is taken by Idea at 61% whereas Airtel as 33% comes out much better,” mentions the recently releassed report by UBS.

Besides these 33-61% who have completely stopped their data usage, another 26-41% of users have reduced their data usage on their respective networks.

On voice front also, Idea Cellular has been the worst hit. Around 33% of Idea Cellular users have stopped making a voice call on its network since Jio started offering its services whereas the ratio is comparatively lower for Bharti airtel, at 15%.

The report, however, suggests that the Jio effect on incumbents’ voice usage is manageable.

The Aditya Birla Group operator, fortunately, knows this figures and acknowledges the implications of the new operator and its free offer in India’s highly competitive market.

The company’s Q3 financial results is a telling testimony of Jio’s impact. What it witnessed in Q3, 2016 has not happened in the last 10 years for the Aditya Birla Group run operator. Even in its own terms, Idea Cellular admits the company’s revenue has dropped to an unforeseen level.

The company posted revenues of Rs 8663 crore in Q3 2017 compared to Rs 9300 crore in the previous quarter showing a dip of 6.9% sequentially. This dip was seen across it operating circles.

More shocking is, Idea posted a loss of Rs 386 crore in this quarter compared to a profit of Rs 90 crore in Q2. On a standalone basis too, the firm posted loss of Rs 479 crore compared to a profit of Rs 4 crore. This had never happened since 2007 when the company went public.

The company attributed this negative development to Jio effect, of course without exclusively naming it but referring it to as a new operator.

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AnalysisNationalNews

Reliance Jio : Some Interesting, Yet Unbelievable Numbers

jio-4g-data-speed

Reliance Jio, India’s youngest telecom startup has grown big, and so big that it has started giving sleepless nights to existing big telecom operators in the country. The 7 month old company today shared some numbers about its business during the annual results declaration and the numbers are unbelievable.  We are sharing the statistics exactly as shared by the company. We will come up with a detailed analysis later.

Subscribers:

Service Launched          : 5, September

50 Million subscribers : 80 days

100 Million subscribers : 170 days

Subscriber addition per day : 6 Lakh

The operator launched its services on 5 September, 2016. It crossed 50 million subscribers in just 83 days. It crossed 100 million subscribers in 170 days. And by March 31, the operator has 109 million customers, displaying around 6 lakh subscriber addition per day. This is huge. More than a million subscribers a day.

Traffic:

Data traffic per day : 100 Crore GB

Equivalent to traffic consumed in USA by all operators

50% more than what consumed in China by all operators

Voice and video call per day : 220 crore minutes

Peak Simultaneous video stream per day : More than that of during Super Bowl event in USA

With more than 110 crore GB of data traffic per month and 220 crore voice and video minutes a day, Jio has become the largest network globally in terms of data carried and contributed to India becoming the leading country in the world for mobile data usage. Jio users are today consuming nearly as much data as on all the mobile networks in the USA and 50% more data than mobile networks in China in a clear indication that India will adopt digitisation and Digital Life faster than anyone else in the world.

Network:

Largest greenfield 4G operator

Spectrum Holding : 800 Mhz, 1800 MHz, 2300 MHz (access to 2100 and 900 Mhz)

Availability : All 22 circles

Tower strength : 109043, to add another 100000 in coming months

Average Data Speed : 15 Mbps (TRAI data for March, 2017)

The capacity and speed of the network are complemented by the widest LTE reach in the country. Jio has the world’s largest greenfield 4G LTE wireless broadband network, with over 100,000 mobile towers. And it will add another 100,000 towers to the network in the coming months. Jio is the only operator which has deployed pan-India LTE network across the 800MHz, 1800MHz and 2300MHz bands, giving it tremendous capacity advantage.

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AnalysisNationalNews

Jio Dhan Dhana Dhan Offer : You Just Can’t Beat Jio In Its Own Game

mukesh-ambani-jio-dhana-dhan-offer

No other telecom operator in India has ever faced so much of opposition from incumbent telecom operators, manufactured public opinion or the regulator as Jio has faced since its entry to the market. But the newest 4G operator has always come out stronger every time it was pushed to an obstacle. The new Jio Dhan Dhana Dhan offer is a classic example of that.

The recent case in point was Jio Summer Surprise offer. Barely weeks after the offer was announced by the company where Jio offered Rs 303 package along with Prime membership that gives a 3-month of no-payment period, TRAI asked the company to withdraw it. The company readily agreed to the regulator’s ‘advice’ and withdrew the offer.

However, a smart and shrewd businessman as Mukesh Ambani, he brought another plan, very similar to the earlier Summer Surprise offer, which sure can’t be asked to be withdrawn.

The new offer, named Jio Dhan Dhana Dhan, asks customers to recharge their Jio number with this new tariff plan of Rs 309  wherein the company offers a 3 month validity. What it essentially means is if a customer recharges his phone with Rs 309 along with subscribing to Jio Prime, he is entitled to three month of no-payment period.

Simply saying, there is hardly any difference between the Jio Summer Surprise offer and this Jio Dhan Dhana Dhan offer or as Bharti Airtel puts it ‘Old wine in new bottle’.

If you analyse it properly, this new offer shows how Reliance Industries learns from its mistake and that too how fast.

In Jio Summer Surprise offer the company said if someone recharges with Rs 303, he does not have to pay or recharge for the next 3 months, meaning it was offered free for 2 months in one recharge. The regulator, upon complaints from incumbent operators, found this to tricky and bending some rules and hence asked Jio to withdraw it.

But with Jio Dhan Dhana Dhan offer, the company modified its mistake. Instead of saying customers will get all the services free for 2 months in one recharge, it said with the new offer one recharge is valid for 3 months. Essentially the one and same thing. But Jio know well how to play the game, and that to adhering to the rules.

Under the Jio Dhan Dhana Dhan offer, with a recharge of Rs 309, customers will get unlimited SMS, calling and data (1GB per day at 4G speed) for 3 months on first recharge. And with Rs 509 recharge the daily 4G data consumption limit increases to 2 GB per day.

 

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AnalysisNationalNews

Autoplay Video Consumes 40% Of Users’ Data : Report

Autoplay-video-nokia-mbit-report

Though there is a huge surge in data consumption in India, especially video, in 2016, the menace of autoplay video is eating out almost 40% of users’ total data, a report revealed.

In 2016 Indian users consumed around 165 petabytes of data per month and video contributed around 65% of total data traffic. Of this autoplay video or those videos that run without the exclusive permission from the users and run automatically on various platforms like Facebook or Twitter etc contribute almost 40%, a Nokia MBiT report said.

“60% to 70% video consumption is via direct channel such as OTT apps or websites and 30% to 40% are via indirect channels such as social media and browsing,” the Nokia MBiT report cited.

Nokia defines the indirect channels as the autoplay videos that run automatically in social media sites or while browsing the internet. Direct channels are those videos that users watch knowingly, like video streaming on YouTube.

amit-marwah-nokia
Amit Marwah, Head, End-to-End Sales Solutioning, India Market, Nokia

The report, India Mobile Broadband Index, said while the users are consuming data unknowingly because of the autoplay videos, there is always the option to shutdown the autoplay option in every app.

Consumers always have the option to stop the autoplay option in the settings of the apps but they need to be little more aware to do it,” says Amit Marwah, Head End-to-End Sales Solutioning, India Market, Nokia.

subrat kar-vidooly
Subrat Kar, Co-founder, Vidooly

Autoplay video certainly takes up a significant chunk of consumer data, and the major consumers are the millennials” says Subrat Kar, co-founder of Vidooly, an India based video analytics company that tracks the domestic as well as global video data market using data anlytics and machine learning.

“Of these indirect channels, Facebook contributes around 85% of such autoplay videos, followed by Twitter and InstaVideo,” he adds.

The report also said that a 4G user consumed 30% to 40% more data than a 3G user in 2013 and its because of the higher data speed on 4G connections.

The data and consumption pattern tracked by Nokia for this MBiT report does not include data consumption on Reliance Jio network.

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