Reliance Jio Phone was launched on July 21 and regardless of the popularity it achieves, the date will be remembered in the telecom history of India as well as the world. This device, when it arrives, has the ability to empower a huge number of Indian citizens. In fact, Jio Phone could change the lives of over 50 crore Indians who are dependent on feature phones. While Mukesh Ambani claims that the device is ‘India ka smartphone’, it is in fact a 4G enabled feature phone. But that is not demeaning in any way. This feature phone has capabilities like none other. This alone may be reason enough that a huge section of the population will be curious about the phone. With unlimited data, free voice calls, apps, even voice commands and cable TV linkage, this phone is definitely ‘smarter’ than any other feature phone. Whether more people will go for the device is another matter altogether. In order to understand the impact of the Jio Phone, here’s a look at what the rating agencies say.
THE GOOD: A rating agency called ICRA has claimed that from an ARPU (Average Revenue Per User) perspective, this may be a good move. ICRA said in a statement, “JioPhone is likely to keep the competitive intensity of the industry high with RJio targeting strong addition of lower-ARPU (average revenue per user) subscribers and/or rural subscribers.” The ICRA report has said that Jio will help in the rise of ARPU levels of the industry altogether. This will help in the long run since the JioPhone targets the low ARPU subscribers. The report said that the phone can also increase funding requirements for Reliance. The report said, “Marketability and acceptability of JioPhone would hinge on the kind of data experience it offers to the users without the port to connect to the TV, which comes at a higher monthly charge.” But ICRA aslo showed a few concerns for the success of the Jio Phone, one of the reasons a bundled mobile. It said that bundled devices have not succeeded in the domestic market several times. It said that the ‘tricky issue’ of bundled apps is the creation of a ‘walled garden’, and the concern is whether it can let a buyer use other apps.
THE GOOD: A rating agency called ICRA has claimed that from an ARPU (Average Revenue Per User) perspective, this may be a good move. ICRA said in a statement, “JioPhone is likely to keep the competitive intensity of the industry high with RJio targeting strong addition of lower-ARPU (average revenue per user) subscribers and/or rural subscribers.” The ICRA report has said that Jio will help in the rise of ARPU levels of the industry altogether. This will help in the long run since the JioPhone targets the low ARPU subscribers. The report said that the phone can also increase funding requirements for Reliance. The report said, “Marketability and acceptability of JioPhone would hinge on the kind of data experience it offers to the users without the port to connect to the TV, which comes at a higher monthly charge.” But ICRA aslo showed a few concerns for the success of the Jio Phone, one of the reasons a bundled mobile. It said that bundled devices have not succeeded in the domestic market several times. It said that the ‘tricky issue’ of bundled apps is the creation of a ‘walled garden’, and the concern is whether it can let a buyer use other apps.
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