Reliance Jio: reportedly launching a 4G Feature phone at just Rs 500 Image: Reliance
With 72 million subscribers enrolling for prime membership till March 31, Reliance Jio will remain disruptive given its aspirations, investment banking firm Jefferies said on Wednesday.
Jio recently reported that out of the 100 million-plus subscribers of its free services, over 72 million enrolled for the Jio Prime membership. The enrollment allows subscribers unlimited monthly data for a one-time annual membership fee of Rs 99 and a monthly fee of Rs 303.
"This subscriber retention is well above the recent expectations of 50 million that were being built in. This will lend confidence in the ability of Reliance Jio to monetise services and challenge incumbents," Jefferies stated.
"The potential for R Jio to disrupt can be gauged from its aspiration to reach a 50 per cent market share. Given that the industry will be driven by a need for data capacity, Reliance Jio creating a 5x data capacity and a headstart of 3-4 years vs competition should hold it in good stead and allow it flexibility to offer more for less price if needed to capture market share," the report added.