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Reliance Jio's Audacious Bet: Disrupting India's Mobile Telephony and Data Market

Reliance Jio's Audacious Bet: Disrupting India's Mobile Telephony and Data Market
Case Code: BSTR547
Case Length: 20 Pages
Period: 2017
Pub Date: 2018
Teaching Note: Available
Price: Rs.500
Organization: Reliance Jio Infocomm
Industry: Telecommunications
Countries: India
Themes: Disruptive Innovation
Samsung Galaxy Taking on Apple iPhone?
Abstract Case Intro 1 Case Intro 2 Excerpts

Evolution of the Indian Telecom Sector

The Indian telecom sector was liberalized in 1994 with the introduction of the National Telecommunications Policy or NTP. For several years, the fixed line services offered by government owned Bharat Sanchar Nigam Limited and Mahanagar Telephone Nigam dominated the Indian telecom market. In 1994, the Government of India opened up mobile services to private participation.

In 1995, mobile services were introduced with high mobile tariffs, resulting in poor demand. The NTP of 1999 moved the industry to a revenue sharing model from the fixed license fee. The lower tariffs resulted in the addition of more than 12 million subscribers from 1999-2003. The period also witnessed the setting up of the Telecom Regulatory Authority of India or TRAI in 1997 as an independent regulator for the Indian telecom sector in a bid to reduce the dependence on the Government of India in the operational matters of telecom companies...

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