Reliance Jio Launches Its 4G Services

• Reliance Jio has launched 4G service for its employees under Jio brand name.
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• The company will begin the commercial roll-out of the service from March-April.
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• Jio TV service will accept voice command to change channels and subscriber will not require remote control to do so.
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Mukesh Ambani introduced his much-touted 4G telecom services on Sunday evening, restricting it only for Reliance employees for now, as the petroleum-to-retail corporate giant prepares to shake the telecom industry with a full-bloodied launch around March next year.

. . For Ambani, this is the second calling in the telecom business after his first venture, Reliance Communications, went into the kitty of younger brother Anil as part of a family settlement between the siblings.

. . On offer from Reliance Jio Infocomm will be low-cost 4G devices (under 'Lyf' brand) costing as low as Rs 4,000 and a host of services along with the regular voice and data. These will include a big collection of music (Jio Beats); around 200 television channels with back-up (Jio Play) and movies (Jio on-demand).

. . At the commercial launch, Ambani is expected to go in for an aggressive pricing for his offerings which are expected to come bundled with a host of SIM cards (to make it a family offering) and large data-pack plans.

. . The telecom entry is one of the group's most ambitious project to date (after retail) and it has pumped in nearly Rs 1 lakh crore into the business which aims to take on the established telecom behemoths such as homegrown Bharti Airtel, Britain's Vodafone and Aditya Birla group's Idea Cellular head-on.

. . The battle for customers in the fiercely-competitive telecom business is expected to get intense and market analysts feel that Reliance's entry will bring down mobile and data prices further in India which already boasts of giving the world's cheapest tariffs.

. . The 90,000-odd employees of the group go live on the voice-over-LTE (4G) network from Monday, the 83rd birthday of Reliance group founder Dhirubhai Ambani.

. . "India and Indians cannot afford to be left behind in this new world. However, India is ranked around 150 in the internet and mobile broadband penetration out of 230 countries. Jio is conceived to change this," Ambani said as he unveiled the services for the employees at a glittering ceremony at Reliance Corporate Park in Navi Mumbai in the presence of mother Kokilaben, wife Nita Ambani and children Isha, Akash and Anant.

. . Anil Ambani made it to the event with wife Tina while corporate chieftains at the event included ICICI CEO Chanda Kochhar and HDFC Chairman Deepak Parekh.

. . The incumbents have already been preparing for the launch of Reliance Jio with Airtel, Vodafone and Idea all launching their 4G services ahead of the Ambani venture. Sunil Mittal, the Chairman of the Bharti group, has conceded that the entry of Ambani will intensify competition in the telecom sector, but added that Airtel is "prepared to face the onslaught".

. . Akash and Isha, both directors on Reliance Jio, played a pivotal role in the ceremony on Sunday as they - along with Bollywood superstar Shahrukh Khan - introduced the various services that the telecom venture will offer.

. . Mindful of the requirement of a massive infrastructure spread for launching mega telecom services, Reliance Jio has already stitched up tie-ups with various operators. While it has a spectrum trading and sharing deal with Reliance Communications, it has signed up tower-sharing deal with nearly all the other operators while working on fiber optic deals with RCoM and Bharti.

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Reliance Jio to launch its 4G services on December 27

Reliance Jio is launching its 4G services on December 27, the birth anniversary of Dhirubhai Ambani. Reliance Jio is the only operator with a pan-India Broadband Wireless Access (BWA) license and is looking at a VoLTE-based 4G rollout. Reliance will also launch a range of 4G capable smartphones under the brand name ‘LYF’. According to ETTelecom, four smartphones will be introduced in the first phase. These include three premium variants called ‘Water 1’, ‘Water 2’, and ‘Water 3’ along with a super-premium variant called ‘Earth 1’. These phone may soon be available at multi-brand outlets and Reliance Retail stores.

Reliance may be considering a partnership with e-commerce firms like Amazon, eBay, and Flipkart for the sale of their ‘Earth’, ‘Water’, ‘Wind’, and ‘Fire’ series of phones. It was earlier reported that the handsets will be priced between Rs. 5,000 and Rs. 25,000. These will be specifically designed for the Indian market and can work across multiple frequencies on which 4G services are offered. 

Reliance Jio Infocomm’s 4G launch could pose the biggest threat to Bharti Airtel and Vodafone India’s market share. A study conducted by brokerage firm, CLSAsays that Airtel and Vodafone’s premier user base, who have already adopted 4G services, may shift to Reliance’s network. "As high-ARPU (average revenue per user) subscribers are likely to be early adopters of 4G, the two highest-ARPU operators are at a higher market share risk with new entrant Reliance Jio's launch of 4G services," CLSA said in a note. The firm added that Airtel was better prepared to defend against Reliance Jio’s service as compared to Vodafone because Airtel has already launched its services across India, whileVodafone has a limited 4G spectrum. It said, “However, in these markets, Bharti Airtel not only has comparable spectrum to Reliance Jio to defend its turf, but also has launched its own 4G services.”

Another brokerage firm, Credit Suisse, had found that Reliance Jio’s 4G network peaked at 70Mbps during its beta-test phase, but generally remained between the 15Mbps to 30Mbps range. The firm’s report also noted that while Reliance’s coverage in urban areas matched those of its competitors, there is not much focus in rural areas.

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