In the telecom market, Jio had brought a storm. When Jio sim cards were launched with an unlimited offer of free calling, free 4G data and even messages free. Earlier the offer was until 31st December 2016; then it extended till 31st March 2017. Mukesh Ambai has launched Jio sim cards. Now again it’s time for celebrations as Jio offer is again extended till June 30, 2017. Again Mukesh Ambani has given a big surprise.
Well, the plans have extended for three months, and only voice calls will be free. Jio users should not worry as there will be a nominal charge of about RS 100 for the internet. Till the end of June, 2017 voice calls will be free. According to The Economic Times, one person who is in this matter said, “We have to start making revenue.” As per the reports, the validity of new plan will be three months, from April 1, 2017, to June 30, 2017.
The price of data is normal so that everyone can afford it. The company will charge RS 100 because they had a fear of loosing customers. As compared to the market rates 100 Rs is low. In future company will increase the rates, when the right time comes. Now they will get to know how many customers will be using this service of Rs 100, so they don’t want to raise the price now.
Chris Lane, a senior analyst, said; We expect many will go back to using their primary number if the (free) offer is withdrawn, and Jio could well lose over half its subscribers if it starts charging more without fixing the call drop problem.”
Another analyst said, But it has to come up with cheaper tariff because other incumbents have already launched reduced packs. This price war is a burden on the company (telcos), and the government loses on license fee as well.”
If Jio wants the subscribers to use this offers they need to plan properly. There is a lot of competition between the telecom companies for the data packs. If this three-month extension is approved, then it’s bad news for other companies. We need to wait for the approval, time will tell what happens.