Reliance Jio: Disrupting the Indian Telecom

Industry

By:
Gurpreet Singh (18103089)
Arzoo Goyal (18103087)
Ananya Bhardwaj (18103049)
Introduction
● Founded by Mukesh Ambani in 2007

● Launched services in 2016

● Before Jio

○ poor connectivity

○ Unaffordable data

○ Focus on voice over data

● 1.5 lakh crore investment in 4g

Why Jio?
● Free sim cards to increase consumer
Unlimited
base Free
Free 4G
data
calls
usage
● Affordable 4g smartphones
per day

● Free voice, data, message services

Free SMS
● More than 5 crore subscribers in 83 Service

days
Business Strategy

● Used loss-leading strategy

3 Upsells
● Product and service

segmentation Entry
Products
○ Eg. JioCinema, JioCloud, Jio Fiber 1 2
Retainers
○ Increased data usage (per user)

● Targeted tier 2 and tier 3 cities Product / Service Ecosystem

Financial Structure
Impact on other companies
● Completely disappeared -

○ TATA Docomo

○ Aircel

● Difficult for new telecom companies

● Slash data prices

○ Eg. Airtel - 60%, Idea - 67%

● Airtel acquired Telenor

● Vodafone and Idea Merger

How it affected Telecom and other Industries
● India ranks 1 in data consumption

● Market of 4G smartphones exploded

● Boost in Entertainment, education,

e-commerce industries

○ Netflix, Byjus, Amazon

Challenges faced by Jio
● Jio paid 6 paise per minute for calls made from it network to different

service providers.

○ Faced huge losses

● Providing services to remote areas

Future Plans
● Jio announced its own satellite-based broadband.
● Joint venture in partnership with Luxembourgish SES.
● Other future services and products
○ Jio TV+
○ Jio Glass
○ Jio Meet
○ Embibe