Reliance Jio Infocomm Limited is an Indian telecommunications company owned by Reliance Industries. It launched commercial operations in September 2016 and has over 227 million subscribers as of 2022. The document provides details about Jio's history, mission, objectives, SWOT analysis using Porter's Five Forces model, competitive advantage, impact on the telecom industry, and data usage growth in India post Jio's launch. It establishes Jio's leadership position through affordable services, high-speed network coverage, and disruption of traditional pricing models in the country.
2. About Reliance Jio
Reliance Jio Infocomm Limited is an
Indian mobile network operator owned by
Reliance Industries.
It’s headquarter is in Navi Mumbai,
Maharasthra.
Founder of Reliance Jio is Mukesh
Ambani.
It was founded in 2007.
Jio became publically available on 5th
September 2016.
The subscriber base of Jio is 227 million.
3. History
In June 2010, Reliance Industries (RIL) bought a 96% stake in Infotel
Broadband Services Limited (IBSL) for Rs 4,800 cr.
Although unlisted, IBSL was the only firm to wi broadband spectrum in
all 22 zones in India in the 4G auction that took place .
Later continuing as RIL’s telecom subsidiary, IBSL was renamed as
Reliance Jio Infocomm Limited (RJIL) in January 2013.
In June 2015, Jio announced that it will start its operations all over the
country by the end of 2015.
At the beginning stage, Jio was opened only for employees.
The company commercially launched its services on 5th September
2016.
Within the first month of commercial operations, Jio announced that it
had acquired 16 million subscribers.
This is the fastest ramp-up by any mobile network operator anywhere in
the world.
4. Mission Vision
Harness the full
potential of the internet
to create a digital
revolution through high
speed connectivity.
Movement that will
give Indians the power
to make their dreams
possible.
5. Objective
Reliance Jio aims to cover 99% population by
end of FY18.
Jio has built India’s largest next generation
all-IP network with latest 4G LTE technology
which is ready to deploy 5G technology and
beyond.
Reliance Jio aims at providing internet
services to the rural areas of the country.
7. Strength Weakness
Strongest Customer
Acquisition Strategy
Strong Customer base
Technology
Strong backing of parent
company Reliance
Industries
Brand Management
Fast and wide network
Multiple offerings under a
single name
Late entry into the market
Activation issues
Pricing Controversies
Too many freebies
Data connection poor
8. Opportunity Threat
Future driven
technology
5G and 6G
technologies
Applications
Competitive Pricing
Strategies
Expansion to other
countries
Risk of loss of
customers
Saturated market
Highly competitive
market
Changing
Government Policy
Rapid upgradation in
Technology
9. Porter’s Five Force Model
Competitive
Rivalry
Threat of
New Entry
Buyer
Power
Threat of
substitution
Supplier
Power
10. Competitive Rivalry
Customers’ low switching cost intensifies the
competition in the industry.
Price sensitivity of customers also adds to
this. Telecom sector in India is almost
saturated.
Almost every household possess a mobile
network. In this case, every rival is fighting for
the same share.
There is no market left for new entrants.
New entrant Jio must get significant share
only from the competitors.
11. Threat of New Entrant
The entire Indian telecom sector redesigned
by the new aggressive entrant of RJio.
The Reliance announcement of its free offers
creates drastic changes not only on its rivalry
competitors but also on subscribers, power of
suppliers, power of buyers and threat of
substitutes.
Jio has come up with a device that upgrade
3Gmobile to function 4G services.
12. Threat of substitutes
Hardly there are no substitute products for
mobile services in the industry. Hence the
impact of substitutes is insignificant in this
case.
13. Bargaining power of buyers
Switching cost is very low.
Customers can switch their service through the
option ‘port’ without changing their number.
Customers in this industry is observed to be price
sensitive.
Therefore, customers expect superior quality
service at lower cost.
This made mobile giants Airtel and Vodafone Idea
to slash their tariff nearly 40%. Eventually it
adversely affect industry profitability. Also become
threat to the new entrant
14. Bargaining power of suppliers
Being supplier of mobile services, the players
have less bargaining power with the
customers.
This force the players to offer better
services at reasonable price.
16. What is Competitive Advantage?
Competitive advantage is the favorable position
an organization seeks in order to be more
profitable in its rivals.
It is the leverage that a business has over its
competitors.
A company must be able to detail the benefit that
they provide to their target market in ways that
other competitors cannot.
17. Top Telecom of India
Rank Operator Subscribers Market
Share
1. Vodafone Idea
Limited
443.94 million 38.37%
2. Airtel 344.87 million 29.81%
3. Jio 227.05 million 19.62%
4. BSNL 113.34 million 9.80%
5. TATA DoCoMo 24.26 million 2.10%
6. MTNL 3.51 million 0.30%
19. Service and Data war of JIO and its competitors
JIO
Jio provides same offers to
each customer.
Jio offers unlimited data with
minimum price
High speed of the internet
Latest 4G technology
Through ‘MY JIO app’ so
many facilities available to the
users like;
1. Jio Music
2. Jio Cinema
3. Jio TV
4. Jio 4G Voice
5. Jio Newspaper
6. Jio Mags
7. Jio Security etc.
Competitor
Airtel
Airtel offer differ from one
user to other user
Latest 4G technology is
adopted
Saving up to 20% on family
mobile spends.
Vodafone Idea
Now idea Provides more data
with low price.
In Vodafone the unused data
will be added back to next
month
Merging of Idea and
Vodafone is a block buster
deal because both networks
are one of the top networks in
India
22. Why Jio?
Before Jio
High base rate
16000 plans to confuse
customers
Roaming Charges
Blackout
VAS charges
Pay for every service
separately
High Data rates
Voice Charges
After Jio
Base rate = Rs 250/GB
Simple Structure
India Free Roaming
No Blackout/ Unfair
Charges
No old-world VAS in
digital world
Only pay for one Service
Lowest Data rates in the
world
Truly Free voice
23.
24. DATA Explosion
Jio has created world record for fastest 100
mn acquisition
Market expanded 6X with Introduction of Jio
in less than 6 months
100 Cr
GBs/month
(With JIO)
20 Cr
GBs/Month0
5-6 Months
20 Cr
GBs/month
25. Impact on Jio Ranking
0
20
40
60
80
100
120
INDIA South
Korea
Japan China United
States
CR GB/month
26. Jio bringing the best in India
World’s largest all IP network
Highest VoLTE traffic of 200 cr mins/day
Created device ecosystem for 4G in India
Jio hits 3.6 mn peak simultaneous video
streams daily( v/s largest US operator who
had a peak of 1.7 mn)
Jio is India’s only 5G ready network due to its
elastic network and deep fiber
27. Bibliography
www.wikipedia.com
Jio University
www.marketing91.com SWOT analysis by “Hitesh
Bhasin”
economictimes.indiatimes.com
searchcio.techtarget.com - Definition
Slide Share- Presentation uploaded by “iKartikRT”
www.ijrmbs.com – Report given by S Salomi
www.ijcsmc.com – Research article about Porter’s
Five forces on Telephony service in India
www.ril.com – Analysis report