Big achievement for Jio: Don't miss

New Delhi, Dec 13- Jio has shown a significant growth & strong performance in crucial states and rural mobile markets Recently, that has to lead to its an increase in the  RMS (revenue market share) by as much as 375 BP (basis points), to over 26% at the end of September. On the other hand, Airtel’s RMS dipped 75 bps to 30.9% amid revenue losses in seven key markets, while VIL’s plunged 190 bps on-quarter to 32.8%, amid revenue slides nearly across India.

Jio’s Monsoon Hungama offer of exchanging any old feature phone for a Jio Phone for just Rs1,000 with six months of recharge included proved to be a major reason in the sharp upsurge in the Ambani-owned Telcom's subscriber base in the last quarter.Airtel has paid a heavy price for refusing to fight Jio in the VoLTE feature phone market. The network lost as many as 6.6 million subscribers just in the last quarter, whereas Jio reported a 37 million customer additions during the same period, making its total customer base to over 252 million. Things are similar for the current market leader, Vodafone Idea, which also refused to counter Jio in the 4G feature phone segment, they lost 13 million customers in the second fiscal quarter, riled by a mix of brutal price wars and rising cost.

Bernstein has estimated Jio to reach 28% RMS and 26% subscriber share by March next year, especially if Airtel and VIL don’t counter Jio’s move to subsidise its 4G feature phone market. Both Airtel and Vodafone idea managements have indicated that they don’t believe in handset subsidies for prepaid users. Now if Jio is left unchallenged, it can reach the leading revenue market share position by 2021 and by subscribers by 2022, the global brokerage.Analysts are expecting that Airtel and VIL’s decision to unveil minimum recharge plans will see both the networks collectively losing 56 million customers by the fourth quarter of 2019.

News24 Bureau

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