2. Reliance Jio Infocomm Limited
Type Subsidiary of RIL
Industry Wireless Telecommunications
Founded 2010
Owner Mukesh Ambani
Parent Reliance Industries
Subsidiaries LYF
Website www.jio.com
3. Reliance Jio Infocomm Limited or Jio, is a LTE mobile
network operator in India.
It is a wholly owned subsidiary of Reliance
Industries headquartered in Navi Mumbai, Maharashtra.
Its services were commercially launched on 5 September
2016.
Jio crossed 100 million subscribers on 22 February 2017.
4. Jio has also made all voice calls—local, STD and
roaming—free
Jio, in February 2016 announced a global alliance of
Mobile Network Operators which include:
•BT Group
•Deutsche Telekom
•Millicom
•Orange S.A.
•Rogers Communications
•MTS (network provider)
•Telia Company
•Telecom Italia
5. Products & Services
1. Jio Sim
2. LYF Smartphones
3. 4G Router
4. Jionet WiFi
5. Jio apps 4G Servies- on Google Play , a user will requires a
Jio SIM card to use them. Following is a list of the apps:-
•MyJio
•JioTV
•JioCinema
•JioChat Messenger
•JioMusic
•Jio4GVoice
•JioMags
•JioXpressNews
•JioSecurity
•JioDrive
•JioMoney Wallet
6. RIL’s capex will continue to fall
In 2016-17, RIL’s capex on Jio will be 11% of its overall capex. It was 96% in 2014-15.
8. JIO Changing The Telecom Industry
• The Battlefield shifts from cheaper calls to
cheaper data.
• VoLTE calls surging in popularity.
• Consolidation of major players :- Merger &
Acquistion.
• Employees looking at uncertainty.
• Consumer is the king.
9. Impact of Jio on Telecom Industry
Jio’s entry has disrupted the telecom industry
with its free services.
Jio has kept up the pressure with its
competitive data tariff plans, started 1 April
2017.
The stock market has rewarded Reliance for its
aggressive entry into the telecom sector.
RIL counter has jumped more than 13% in a
week.
13. Impact of Jio on Competitors
• It has become difficult for Airtel, Vodafone, Idea, etc.
to grow their user base as Jio aggressively adds
customers at their expense.
• Retention of existing user is also a major problem for
other competitors.
• Another key challenge is fall in rising power “due to
aggressive pricing by Jio.”
• If others don’t match Jio’s offers, their market share
will go and, if they cut prices, revenue will be hit.
• The fall in net profits will be more than the fall
in revenues.
17. Telecom Industry Revenue Falls
• Jio Infocomm Ltd. has brought down the
combined revenue of the incumbent telecom
operators.
• The telecom industry’s combined revenue fell
6.6 percent sequentially in three months
ended December 2016.
• Gross revenue for 11 telecom companies in
the Q3 of 2016-17 contracted to Rs 34,835 Cr
from Rs 37,302 Cr.
20. 3 After-Effects of the Jio Tsunami on
Indian Startups
1. Data Is The New Oil; Information Is Absolute
Power.
2. More Internet Users Means More Customers
For Internet Startups.
3. Massive Investment in Visual & Delivery of
Content Anticipated.
23. CONCLUSION
JIO has affected various companies in the Telecom
sector resulting in their revenue loss. But at the same
time it has made consumers the king. The company
which will provide good services and that too at low
rates will only survive in this pool of competition. So
according to me this is a healthy competition which will
ultimately help India to grow in every sphere
connecting people to the world around.
