Reliance Jio To Hit 100 Million Subcribers By March, says Fitch Ratings
Riding on the free voice and data offers, Reliance Jio Infocomm’s subscriber base may touch 100 million by March 2017 end said Nitin Soni, Director at Fitch Ratings. However, it may even shrink once the telecom operator starts charging its customers, he added.
Nitin Soni, Director at Fitch Ratings, said in an interview – “We think that Jio is adopting a very sound strategy of offering free voice and text services and free data till the end of March to bolster its subscriber base. They currently have 52-55 million subscribers and it could well increase to 100 million by end of March, but we will need to remember that these are free services.”
“So as long as it is free, even a customer who is a customer of Airtel or Idea will still take a free Jio SIM to enjoy free services for the next three months. But I think there will be some churn when Jio will start charging from April 1 and that churn may well reduce the subscriber base by 5-10 percent,” he added.
The reasons Soni stated above seems legit as Reliance Jio hasn’t made it as the primary network for its users. Most of the users use it as a secondary SIM for free internet and sometimes for free voice calls. Contrary, if Jio manages to win the trust of the people and continue to offer services at much cheaper rate, then we might see the numbers jump even higher after March 2017.