Amity Global Business School, Ahmedabad
Amity Global Business School, Ahmedabad
Amity Global Business School, Ahmedabad
SCHOOL, AHMEDABAD
extent that it is now our preferred medium of everyday communication. In almost everything we
Reliance Jio, the 4G only telecom service from Mukesh Ambani, began commercial operations
in India on September 5, 2016. Since the service went live, the company has changed the way
India consumes data and talks with fellow countrymen. The greenfield LTE network was being
tested by its employees starting December 28, 2015 and has turned India into a data intensive
country. The commercialization of Jio has also helped Ambani become the richest man in Asia.
Since its inception, Jio has graduated from a telecom service provider to a 4G feature phone
maker to a broadband service provider. In fact, the company sees it just as a start and is poised to
grow further with new subscribers joining the network almost every other month. The company
recently completed two years and here is a look at all the milestones it has achieved so far:
Reliance Jio started its commercial operations on September 5, 2016 and within five months, it
reached 100 million subscribers. This is the fastest growth ever for a telecom service provider
and Jio said it grew faster than Facebook, Twitter or any other social media platform. The
company began operations by offering free data and voice calls for the first three months and
later extended it by another three months, which became lucrative for a lot of smartphone users.
Initially, people stood in queue to get Jio SIM cards and even purchase LYF-branded devices to
Reliance Jio ran its free service from September 2016 to March 2017 and switched to a paid
model in April. At the end of March, it announced that customers will have to subscribe to Prime
membership by paying annual fee of Rs 99 and migrated all of its subscribers to a paid model
where users paid Rs 399 and got subscription for 84 days. At that time, Jio offered 1GB data per
day or a total of 84GB and was considered to be the cheapest plan for a gigabyte of data.
In June 2017, nine months after the launch of its commercial service, Reliance Jio
announced that it has reached 200 million subscribers. Jio has been growing faster than social
media platforms including Facebook and Twitter. The company announced the milestone just
weeks ahead of its annual general meeting where it announced the next chapter.
On July 21, 2017, Mukesh Ambani announced JioPhone, the first 4G feature phone in the world.
Till the launch of JioPhone, Reliance Jio had served as the service provider but it wanted to be
both provider for network as well as device. The launch of JioPhone was aimed directly at tier 2
and tier 3 cities and Jio said there are 500 million feature phone users in the country who are
deprived of 4G service. The JioPhone became an instant best-seller in the country, which was not
surprising.
After the launch of JioPhone, Reliance Jio had been steadily growing in the Indian smartphone
market. It beat incumbent players and declared profit with an average revenue per user higher
than that of its rivals. In order to further consolidate its lead, Jio launched JioPhone 2, a device
with QWERTY keyboard and support for 4G network. The device, Jio said, will make it easier to
In September 2018, Reliance Jio completed two years as a telecom service provider and thus
changed the shape of data usage in the country. The company announced at a previous event that
mobile data consumption went up from 20 crore GB per month to nearly 370 crore GB per
month. It said Jio users alone were consuming nearly 240GB data per month. The staggering
A year after Reliance Jio launched the JioPhone, the company announced its plan to make its
feature phone smarter. One of the big plans was to bring services such as WhatsApp, Facebook
and others to the platform. In September, JioPhone officially began supporting WhatsApp, the
social messaging platform used by over 250 million users in the country.
In October, a report from TRAI detailing the subscriber base revealed that Jio now had 250
million subscribers. The service provider is the third largest telecom player in the country
behind Vodafone Idea Ltd and Bharti Airtel. These numbers were based on period endingh
September 2018 and in September alone, it registered 5.44 percent growth in its subscriber base.
Reliance Jio is estimated to have sold 60 million JioPhone in India since it started selling the
smart feature phone in July 2017. The JioPhone has proven particularly popular in rural markets
and the company commands more than one third of the market share in the feature phone
segment. Counterpoint Research said that feature phones are still relevant and shipments grew
Reliance Jio has ventured beyond network operations and sales of feature phones and announced
JioGigaFiber, its broadband service bringing wired internet to homes at AGM this year. In
The JioGigaFiber service is being tested with a small set of users and is expected to become