Reliance Jio has taken the country by storm by regularly introducing new plans and offers. Though the implementations might be hurting some companies’ business, consumers surely loved the air of change. Consumers had to pay around 250-350 rupees for 1 GB of 4G data validated for a month until Jio came and revolutionized the telecommunication sector in India –offering internet at less than a third of what consumers paid for the same to other telecom service providers like Bharti Airtel and Vodafone Idea Limited.
With the Jio gaining more and more consumers, big fishes in the sector faced enormous losses but didn’t come up with any controversial statements until Jio offered a demand to kill termination rates (MTC) -charges which one telecommunications operator charges to others for breaking off calls on its network.
One of the powerful competitors of the revolutionary telecom operator, Bharti Airtel criticized Jio’s demand to kill termination rates and called it ‘a sinister design to continue with its strategy of predatory pricing and ultimately throttle all competition.’ Airtel called Jio’s allegations that the former earns from MTC, laughable.
M. Ambani , the founder of Jio, -not keeping up with silence- said, “For all of us in the industry, I think profits and losses are risks that we take. I don’t think we can rely on, governments and regulators to guarantee our profits or losses.”
“To me, what is most important is did we move the country forward and does the consumer gain. The question you should be thinking about is even if there are profits and losses, who gains and who loses. And as long as the consumer gains and the country move forward, it is worth taking those losses.” “Some of us are big boys, we can afford that” he added sarcastically. He claimed that at reliance, they want to be best in the world.