The 'creative destruction' of Jio was also a factor since it 'crippled' many players and eroded an industry that got its revenues from voice business.
This move is expected to increase average revenue per user in the industry in the next 3-6 months and market leader Airtel is expected to benefit the most.
"15% of the market was 4G LTE about 18 months ago; it’s now shifting rapidly. About 50% or so of it is now LTE," Larry Paulson, president at Qualcomm India said.
Jio, with 138.6 million subscribers, boasts of an above industry average revenue per user of Rs 156.4.
Telecom Regulatory Authority of India’s (Trai) on September 19 decided to reduce IUC to 6 paise a minute from 14 paise, from October 1and also decided to scrap the charge from January 2020.
For the market leader, the benefits are multiple — it gets spectrum at practically throwaway prices, without taking on liability of debt or giving away cash.
Tata Communications on Thursday said that the Board had decided to appoint ?independent advisors to evaluate the strategic salience of the telco's enterprise business.
Airtel on Wednesday had announced the launch of an entry-level 4G smartphone at an ‘effective price’ of Rs 1,399 in tie-up with handset maker Karbonn.
The current state of the industry, though, is a worry for tower companies such as Reliance Infratel, GTL Infrastructure and ATC, which host 20% of the sites for the struggling smaller service providers.
As of September end of this year, the average remaining non-cancellable contract term with Tata Teleservices was in excess of 6 years, said the US based telecom tower company.
- No blogs yet have been written by the author, we’re sure the author will contribute one soon