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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.

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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Analysis

When LeEco Threatens This Journalist With Legal Action

LeTV-LeEco-Logo
By now, it is well known that Chinese smartphone maker LeEco is in deep trouble, globally, may be because of its overly ambitious plans or its unplanned ventures, or both. It is also now known that its India business is in worst shape as almost the entire staff of the company has left the sinking ship. Besides, the man who is supposed to run the show, the COO, Atul Jain has already left. Rather he was asked to leave.
TeleAnalysis filed this story in early January this year that LeEco asks it COO Atul Jain to leave. This made the company so uncomfortable that the smartphone maker threatened this correspondent with legal actions.
“My legal team is too upset with this, and they are contemplating legal action against you,” warned an official spokesperson of the company. This correspondent, however, welcomed the spokesperson to do their job, while allowing him to do his.
“If that happens, you will be in deep trouble,and you don’t understand it” the official tried to remind me of the repercussions.
In the guise of a request, the official commanded, “Please take down the story immediately,” the official added, saying the story to be ‘entirely incorrect’.
Its not very uncommon for us to come across situations when company’s spokespersons deny some developments, or discard some rumors or dispel some speculations, but threatening with legal actions was bit gross.
We had reported that, besides the employee layoffs, the company is also mulling exiting India operations, the most lucrative market at this moment.
It was imperative do that story as interests of thousands of Indians, who had bought LeEco’s products including smartphones and TVs, were at stake. If the company exits India, these customers will be bereaved of any product support, if required at any point of time.
What was more dangerous than this was while all the chaos was going on at the firm, its India executives kept on telling Indian consumers that all is fine with the company, and kept selling their products.
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Analysis

Vodafone Idea Merger May See 10,000 Job Losses, Closure Of 40% Outlets

vodafone-idea-merger-employee-layoff

The proposed Vodafone Idea merger, no doubt, will save both the companies from the Jio-inflicted competition but it is not going to be a happy affair for the employees at these two firms. An estimated 10,000 employees may have to quit the merged entity during the process.

The Vodafone Idea merger is going to be the merger of the Titans as the number 2 and 3 operators of the country are going to join forces to fight against an illusive number 1. The Vodafone Idea merger also is a classic case of overlapping assets – from spectrum to telecom towers, from workforce to retail outlets.

Before the entry of Jio, both the companies – Idea and Vodafone – were two full fledged operators having the required number of employees to run their business. As per last filed reports, Vodafone India has little over 13,000 employees and Idea Cellular has 17,621 employees, totaling to more than 30,000. In contrast, country’s largest operator Bharti Airtel is managing its services, almost smoothly, with around 19,000 employees.

Survival Was The Premise Of The Merger
The Vodafone Idea merger is happening because the firms want to survive against the onslaught of Reliance Jio that has invested more money in last 3 years compared to what the other two have invested in last 10 years. More than that, the Jio effect has, for the first time, forced Idea to witness a loss in last one decade.

So, the premise of this merger is to maintain the bottomline. When manpower cost, including employee salaries, perks and other incentives, amount for around 30 -35% of the company’s expenditure, it makes no sense for the merged entity to retain the overlapping workforce. The Vodafone Idea merger would have around 10,000 overlapping job profiles. This section may get the pink slips.

The job losses will happen at all levels, however, the major impact will be at senior and middle level. The merged entity may not like to have overlapping senior employees, who are the fattest pay takers.

Retail Outlets May See Closure

Besides employees, after the merger, the merged entity will have double the number of retail outlets. The top three operators of the country, Airtel, Vodafone and Idea, have their company owned branded outlets across the country, besides retail touch points at every nook and corner. And interestingly, the retail outlets of these operators are strategically placed very close to each other.

Now, after the merger, having separate retails outlets of Vodafone or Idea, does not make sense. And also, having two outlets at the same location is also not advisable. The Vodafone Idea merger would, for sure, see closure of many such outlets. By end of December 2016, Idea had close to 9,000 company owned outlets whereas Vodafone has more than 10,000 such outlets across the country. Half of these would see their shutters down post the merger. Or, in best case, some of these will be relocated.

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Analysis

How Mukesh Ambani Stopped Customer Churn With Jio Prime

Jio-Prime-Emrollment-new

RIL Chairman Mukesh Ambani, on 21 February, announced that it has acquired 100 million customers since launch and launched a new scheme called Jio Prime. Acquiring 100 million customers in just 170 days is no small feat, in fact, it was the fastest pace any operator added customers in such a short period.

According to Ambani, Reliance Jio added 7 customers every second through out that 170 days, and the pace surpassed the customer acquisition speed of internet biggies like Facebook or WhatsApp.

However, these mammoth customer number in such a short period was possible, simply because Ambani offered his services free of cost to the customers. So it was no big achievement to have that number of customers who are on-boarded free to the network.

But analysts earlier felt that once Jio starts charging for its services, customers may not like to stick to Jio and there would be huge drop-out of customers from the Jio network. Some earlier reports also suggested that most of the Jio users are considering a Jio as their secondary number. Means, these customers will always have their primary connection, be it of Airtel, Vodafone or Idea, or some other, and use Jio services as a standby, and as long as it is free.

However, the same may not be case anymore with the launch of Jio Prime, despite it being a paid service.

How Jio Prime Changes The Game
During its 100 million customer celebration, Mukesh Ambani also announced that from 1 April Jio services will not be offered free. It will be charged and customers will have to pay for it. And this had been the long standing demand of the industry as well as other operators that Jio should not offer services for free, which is directly affecting the financial health of, one, the industry and, two, the operators. The telecom services industry, led by its association COAI, and spearheaded by top three operators – Airtel, Vodafone and Idea – had been complaining about Jio’s services being free and even knocked the government’s door asking for a redressal and to create a level playing field.

Jio on 21 February forced them to shut their mouth and not crib anymore. It launched its new service offering through a scheme called Jio Prime. The Jio Prime asks the customers to register for the prime membership by paying a fee of Rs99. Once you are a Prime member, you can avail all the existing services, that were earlier offered free, by paying a monthly charge of Rs 303.

What exactly does this mean?
To a Jio customer, it means the services still remain free, almost. You use two things on a smartphone – one, make voice calls, and two, use data for all other purposes – be it surfing, social media, gaming, texting, ‘whatsapping’ and all others.

Anyways, the voice calls are free on Jio. That means you can make free voice calls to any network absolutely free. This is not free with any other operator, yet. That takes care of one of your prime needs – making calls. Second, by paying Rs 303 under Jio Prime scheme you get unlimited data consumption for the entire month. To be more precise, a customer gets 1 GB of free 4G data per day. That means 30 GB of free 4G data a month. And it costs just Rs 303 or Rs 10 per GB. No other operator matches this rate. The closest cheapest operator is BSNL that offers 1 GB 4G data at Rs 36.

It means with Jio Prime both the needs a customer is sorted, that too with a recharge of Rs 303.

Why Customers Won’t Quit Jio
During the free period, Ambani said, Jio customers consumed 100 crore GB of data per month, or 3 crore GB a day. This free offer of data has made consumers addicted to data consumption. If addiction is an exaggerated term, then they, for sure, have realized the value of data. And customers would not shy away from this anytime soon, or never. The hunger will, in fact, grow.

So, it may possible, that the existing Jio customers would like to stick to the operator as they will be getting 30 GB of data for the monthly price. It may also possible that they will not dump their other number, be it from Airtel, Vodafone or Idea.

That apart, tariff plan under the Jio Prime scheme is simple as against that of other operators. Customers are still confused which plan should they buy that give them best value for their money. In Jio Prime, they know they will get 30 GB of 4G data for Rs 303.

Challenges for Jio

Jio, for sure, is not going to walk in a park in the coming times. Though there is high probability that its customers will not move out of its network, Mukesh Ambani, however, can not be complacent, which, the businessman he is, will not be. The big challenge of Jio network is its voice network. A phone does not remain a phone if it can not make a call, which has been an issue with the new operator. Most of the cases, when someone switches off his Jio services or connects to other data network, Jio’s voice network does not work properly. At times, does not work at all.

In order to keep the Jio Prime members stick to the network, and for Mukesh Ambani to celebrate next 100 million customers, the operator, has to work tirelessly to maintain the voice network in a robust stage.

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