For Jio Reliance Dumps Airtel Corporate Plans From 24 August

reliance-jio-4gIn the run up to launch its 4G services, Reliance Industries is playing every trick up its sleeve to make a bang when the services become commercially available. In what can come as a big blow to Airtel, Reliance Industries has decided to stop all the mobile subscriptions it has taken from Airtel for its employees from this month. The disconnection of services can hit Airtel by multiple crores per quarter.

The company has asked all of its employees who were enrolled in the corporate mobile services plan to disconnect the services from 24 August. An email in the form of a circular has been sent out to all of its employees in this regard. A copy of the email has been reviewed by TeleAnalysis.

The email has asked the employees to port their mobile numbers from Airtel to Reliance Jio network under mobile number portability and they have been strictly instructed to do this as the Airtel services will be disconnected from August 24.

Reliance Industries had subscribed for Airtel’s mobile services for its employees under a corporate plan for more than a decade now. As per sources, the Mukesh Ambani’s group of companies used to pay close to Rs 12-15 crore every quarter or around Rs 50 crore annually to Airtel. RIL had subscribed to this subsidized corporate plan from Airtel under a Rs 50 per month rental plan and the ARPU of these connections was around Rs 500.

Though Reliance has subscribed for mobile as well as landline services from Airtel, the company has decided to stop only the mobile services as of now. The source said there has been no decision yet on whether to surrender the landline connections.

Mukesh Ambani’s telecom firm Reliance Jio is planning to launch its 4G services very soon and Airtel is one of its biggest competitors.

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