Indian Telecom War : Detailed Explanation and Effects

We all have witnessed a typical, indirect war between the telecom operators in India after the emergence of Jio. Every operator is giving offers to secure the maximum number of users and continue its existence after the deadly blow by Jio’s free internet offers. We are going to have an insight in the Telecom War, its effects over the public and the nation’s economy.

What exactly is Indian Telecom War

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The Indian Telecom War is not exactly a “war” which uses arms and ammunition. It is exactly the competition between the telecom giants like Airtel, Vodafone, BSNL and the people’s favourite Jio. Before the arrival of Jio everything was going nice and in the way it had been going in the past. After Jio’s free internet services started other telecom operators started losing their customers and had to lower their call and data rates.  We can clearly see that there is an ugly spat underway in India’s $50-billion telecommunication industry. The telecom operators seem to fight against Jio under the leadership of India’s biggest telecom operator Bharati Airtel.

Jio is being touted as an industry disrupter for its ridiculously low data prices ($0.7 per gigabyte), expansive infrastructure, and plan to entirely do away with charges for domestic calls.

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Some facts which clearly display the state of war in the telecom industry are:

  • In August, the telecom providers complained to the Telecom Regulatory Authority of India (TRAI) that Jio was offering full-fledged services to customers and calling it trials, even before the services began. The owner of Jio, Mukesh Ambani refuted these allegations.
  • A week before Jio’s launch, Bharti Airtel, Vodafone, and Idea Cellular—these three control 60% of the market currently—slashed their prices for data services to keep up with Jio’s anticipated lower rates.
  • Many times complaints have been filed against Jio but Mukesh Ambani was always able to keep Jio out of any Dangers.

Bharati Airtel and Jio are directly taking on each other and Vodafone and Idea have thoughts on complete combinations of services. This would lead to a massive turn in the Telecom War.

Jio has already offered the highest earnest money deposit (EMD), indicative of its plans for the upcoming auctions. It means the company is eligible to bid in any of the country’s 22 telecom circles and in any spectrum band. It is also the first time that the 700 Mhz band—considered the best for 4G operations—is being auctioned. And Jio, with the highest EMD, is the only company with the potential to buy spectrum at a base price in most of the circles.{Source=Quatz Media}

Pros and Cons of Jio

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Pros:

  • Unlimited Calling
  • Cheap Data Rates
  • Free SMS
  • National Roaming Free

Cons:

  • 4G Data has limits
  • Network issues while calling
  • LTE-Only Phones eligible for Jio Sim
  • Other Network’s mostly deny calls from JIO

So these were some of the advantages and disadvantages of using Jio and leaving other networks.

Effects of the Telecom War

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  1. The Telecom War has had a diverse effect on the telecom industry and has reduced data prices to a more than 50%. This has lead to users benefit.
  2. Also it has lead to new offers everyday. The offers priced 1000 are being offered at 300-400 Rs.
  3. The telecom war has not only lead revolution in the mobile industry but also in the wifi providers.

This war has lead to a blow to the economy in the initial stage but will surely benefit India in the longer run. Hope you find it helpful. Tell us your views in the comment section below.

 

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Harshit

Harshit is an expert content writer and digital editor. He loves to discuss his topics in lengths and depth to create the ideal picture for the audience. With 7+ years of working experience, Pandey is loaded with enough techniques that are required to build an amazing tech story.

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