Reliance Jio to Launch 4G Services in 800 cities

Reliance-Jio-mobitvReliance Jio is planning for a mega 4G LTE launch in India and plans are for a 800 city launch in 2015. This will be one of the biggest 4G LTE launch not only in the country but also in the world and will showcase the power of broadband in transforming education, healthcare, security, financial services, government-citizen interfaces and entertainment.

The big question is why Reliance Jio is planning for a 4G mega launch?

First, the company has no option as constant delay of 4G services has put a lot of pressure on Reliance Jio. As per BWA license agreement it has to meet its service obligation of 90 percent coverage in metros and in category A, B and C circles and also ensure that at least 50 percent of rural SDCAs are covered within 5 years. To meet these obligations, Reliance Jio does not have any alternative but go for a mega launch and fulfill the rollout obligation so that the company need not pay any penalty after the due data i.e June 2015.

Second, the Department of Telecommunications (DoT) has alloted 22 million mobile numbers to Reliance Jio India (RJIL) for providing mobile access services. Jio was been allotted MSC, MCC & MNC codes for mobile access services across all 22 circles by DoT providing it with about 22 million mobile phone numbers across India to provide mobile access services. This signifies that the company has very agressive plans with respect to 4G LTE rollout in the country and plans are to have one million lines across each circle.

Third, as per Credit Suisse, Reliance Jio has completed rollout of around 100,000 Rkm of optical fiber network in the country and we suspect Reliance Jio already has the largest intra-city optic fibre network with 85,000+ km across 700-800 towns. This is a major differentiator for mobile backhaul in an industry with around 10-14 percent towers connected with fiber. Reliance Jio has also built 5 datacentres, with many more expected to come. This could make them among the largest data centre companies in India. All this signify that number 800 towns/cities is very important for Reliance Jio.

Engaged in this massive endeavor is over 10,000 full time Reliance Jio employees alongside 30,000 professionals from partners and vendors to make this pan India 800 city launch a reality. The company has already done limited field trials of 4G/LTE for initial set of services for broadband services and expanded trials would continue through the end of 2014 and early 2015 as per Mukesh Ambani’s statement. The trials will ensure that the service is trouble free, future proof and world class.

The Jio initiative is a Rs 70,000 crore investment and will cover 5,000 towns and cities accounting for over 90 percent of urban India and 215,000 villages in India. One has to see how Reliance Jio fulfills the next set of obligation of covering complete urban and rural India

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