Mukesh Ambani: Free 4G Internet Offered to India

“Jio’s tariff plans may gradually push the market toward “data-only plans”, under which customers are charged only for data, not for voice and text messages”. People who managed to get the Reliance Jio4G SIM card said that they faced activation issues due to huge server load.

Mukesh Ambani, India’s richest citizen, is implementing a $20 billion 4G mobile network that promises to bring fast internet access to hundreds of millions, at little to no cost. He also announced a 25 per cent more data for students, 1 million Wi-Fi hotspots across the country, “best-ever global calling rates”, unlimited subscription to Jio app and special solutions for enterprises. The Jio SIM card includes an offer for unlimited access to 4G internet data, free voice calls, and roaming calls for the first three months. It said the “tariff plans put out by Jio make it apparent” that they will “really become effective from January 1, 2017.That date is admittedly the planned date of commencement of real, commercial services”. Over a billion people are now hooked up in a country of 1.25 billion.

Mathews referred to the issue of interconnect user charge (IUC), which is the bone of contention between Jio and the rest of the incumbents.

The government appears to be taking a handsoff approach in the tussle between Reliance Jio and incumbent telecom operators over interconnection points.

Consumers are also being promised to wait for some time as their incumbent operators will try to match Jio. In other words, to get more investments into this capital-intensive business, you need exits.

Mr Pankaj Mahindroo, national president of the Indian Cellular Association, called it a “game changing” development, especially with regard to demand for 4G-ready smartphones.

The arrival of Jio – the new mobile network – has ramped up the battle among Indian telecoms firms to win customers. DoCoMo has already given up on Indian telecom and is now fighting a bitter battle with the Tatas on the exit price.

Jio’s introductory offer starts with a base plan of Rs 149 with 28 days validity and that includes 300 MB of 4G data, 100 SMS, and Jio app subscription worth Rs 1,250. “Lowest rate offered is Rs 67 per GB for which a prepaid user needs to shell out Rs 4,999 per month”.

The Telecom Regulatory Authority of India (Trai) has summoned executives of Bharti Airtel, Vodafone, Idea Cellular and Reliance Jio Infocomm on Friday to discuss the bitter feud around interconnection.