1. RELIANCE JIO – ABRUPTION IN TELECOM SECTOR
SUBMITTED BY- GROUP 5
PGDM(GEN)- B
KUMAR AKASH
MANSI BHATIA
MIHIR GUPTA
MRINAL KUMAR
TANYA CHATURVEDI

2. INTRODUCTION Launched on 5th September 2016
Occasion : on the eve of 83rd birth anniversary of late Dhirubhai Ambani, founder of Reliance Industries.
Services : wireless 4G LTE service network.

3. PRODUCTS & SERVICES OFFERED BY JIO
4G Feature phone – JioPhone
4G Broadband
LYF Smartphones
Jionet Wifi
JioFi
SERVICES
My Jio
Jio TV
Jio Cinema
Jio Chat messenger
Jio music
Jio 4G voice
Jio max
Jio net
Jio security and others.

4. BETA LAUNCH V/S COMMERCIAL LAUNCH
Launched initially for partners, staff and families.
on 27th December 2015.
Commercial launch
Launched for general public.
On 5th September 2016.
16 million subscribers within first month of launch.
Crossed 100 million subscribers on 22nd February 2017.

5. JIO PRIME Introductory fees of ₹99
Continue reaping benefits of unlimited offers
Validity lasts for one year after which you have to recharge again for ₹ 99
Makes you the member of JIO Family

6. JIO V/S AIRTEL Ambani amassed 72 million customers in 4 months.
Airtel - Largest market share holds – 25.03%
However it is funding its debt by selling shares in Bharti Infratel limited worth ₹2570cr

7. JIO V/S VODAFONE Vodafone offering 4G data plans as low as ₹19 per day
Encountered 10.2% fall in operating profits
Offering cheap deals to compete with Jio
Now offering internet at prices as low as ₹6 per hour

8. JIO V/S IDEA Encountered a loss during the Jan-Mar quarter of ₹ 328cr
Revenues declined by 6.2% i.e. ₹816cr
Approached telecom disputes settlement and appellate tribunal to file a complaint against free services

9. EFFECT OF JIO ON TELECOM SECTOR
Contribution of telecom sector declined to 1.2% in FY 2017
Industry at its weakest because of its financial leverage
Return ratios for the telecom players has also consistently declined
In future, the industry will see slower investments and more consolidation
11 per cent expected revenue CAGR over the next 5 years
The government might need to step in to improve the industry profitability to ease the exit of players and solve the structural debt issue.