Published: Tue, October 24, 2017
Research | By Raquel Erickson

Carriers offer smartphones at rock bottom prices to counter Jio, raise revenues

Carriers offer smartphones at rock bottom prices to counter Jio, raise revenues

Indian shares rose on Monday, with telecom stocks as well as heavyweight Reliance Industries leading the surge after Jio raised effective prices of most 4G tariff plans. Although it sounds convenient for users, it isn't cheap. Reliance Jio which offered 84GB of 4G data for 84 days, will now offer 70GB only.

Needless to say, the new recharge plans will be competing with Jio's Rs 149 plan.

According to an earlier ET report, the development is a big positive for Airtel, Vodafone and Idea as Jio had been disrupting the market since its launch in September 2016 through first free and then rock-bottom data rates and free-for-life voice calls across the country, forcing older operators to slash rates to retain users at the cost of severe financial pressure. While the Rs. 181 plan does not come with any restrictions on voice calls, the Rs. 195 plan comes with a restriction of 250 minutes per day and 1000 minutes per week. You can recharge with the Vodafone Rs. 181 plan here. Global calls to countries including Bangladesh, USA, Singapore, New Zealand, UK, Belgium, Brazil, Hungary, Mongolia, Poland, Portugal, Switzerland, Sweden and more can be made at Rs 3 per minute.

According to Forbes, Reliance Industries Chairman and Man-aging Director Mukesh Ambani recorded a almost $1.1 billion increase in net worth on Monday. while Bharti Airtel chairman Sunil Mittal tunred richer by $433 million.

The other Tata company, Tata Communications' shares were being traded at Rs 715.05 apiece, up by 1.94% on the BSE on Monday morning. The validity of the entire plan is 28 days. Users also get unlimited incoming calls.

On the other side, the Vodafone Rs. 195 recharge plan offers its prepaid subscribers unlimited voice calling (all network Local + STD) and a total of 1GB mobile data with a validity of 28 days. Users meanwhile get unlimited incoming calls. Another Rs 257 pack gives 2GB data along with local and STD calls.

Like Reliance Jio and Airtel, Vodafone is also offering global roaming packs for travellers to the USA, UAE and Singapore. 1/MB and Rs. 1/minute respectively.

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