It is due to Reliance Jio that we now have data @₹4 per GB (or even less), the lowest in the world. I remember that before the advent of Jio Airtel or Vodafone would give us a mere 1GB data for the whole month for ₹199, call charges extra. Today for less than ₹250 per day you get 2GB per day for a month and unlimited calls. All telecom players have fallen in line. Imagine that they would charge you one Rupee for a 160 character SMS not long ago; now you can write copiously on WhatsApp and transfer files and pictures nearly free, and encrypted.
A rough calculation would show that due to the sharp drop in data tariff, driven by Jio, fifty crore Indians are saving at least one lakh crores every month! That is 12 lakh crores every year compared to the old tariff.
100 crore subscribers
Old rate of data ₹200 per GB
New rate of data ₹4 per GB
Considering usage of 2GB data per day and 60GB in a month
Monthly cost at old rates: ₹12,000
Monthly cost at new rates: ₹250
Saving per subscriber per month: ₹11,750
For say 60 crore subscribers
Monthly saving: Approx ₹7 lakh crores
Annual savings by India on data alone: ₹84 lakh crores
(I agree some of it is notional but you get the idea, don’t you)
We have survived the COVID lockdowns just due to cheap data. Unlimited entertainment on streaming services has been such a respite. Even before the pandemic the CEO of Netflix said that the best thing to have happened to Netflix in India was Jio!
Crores of children, half of them abjectly poor have been able to attend online classes only due to this cheap data. Corporates have been able to hold their respective herds together through Zoom and Meet and conduct business.
Incumbent players in Mobile Telecom accused Jio of predatory pricing and monopoly. How absurd? How could a new entrant become a monopoly. And, if he gives free or low cost services to attract customers, nothing wrong with that too. Ultimately they all fell in line and had to forego fat profits. Airtel and Vodafone had some two hundred Vice Presidents each, one at each street corner. Why? Only because you could fleece the poor Indians?
And, that is why I call Jio the अन्नData of India.
I agree that Reliance has revolutionized Telecom industry in India. I wish they are in the US market, specifically for mobile phones.
ReplyDeleteI have an account with AT&T for two mobile phone lines with 35 Gb of shared data per month. Cost $80 (Rs. 6000) a month.
I am lucky because I get 25% discount a a ex-employee of a multinational that is a large AT&T customer.