Price war between Reliance Jio and Airtel

Broadband price war between telecom companies is going to benefit the users directly, as their price has come down by 40 percent. Airtel has also cut its Xstream plans almost like Jio Fiber on Sunday to compete with the ultra-low pricing strategy adopted for Reliance Jio's Jio Fiber Bundled offers.

300 rupees cheap plans of both companies

Data plans of Jio Fiber and Airtel Extreme are now starting at Rs 399 and Rs 499 respectively. Both these plans have become cheaper by 300 rupees after the cut. Now more speed is also being found in these plans. Apart from this, free subscription of Netflix, Disney + Hotstar and Amazon Prime is also being given with more data in both these plans.



Broadband usage will increase in India

Experts believe that this move of companies will increase the use of broadband in India. This is good for users as they will get cheaper data for work or learn from home. However, this will definitely make a difference in Airtel's revenue as there are 2.4 million users in its home segment who contribute 3 to 5 percent of the revenue.


Will help to increase subscriber base

An analyst from Mumbai said, "This will reduce the average revenue per user of Airtel but it will help the company to increase its subscriber base. I think this will reduce the ARPU by 200 to 300 rupees, but with the arrival of the subscriber, the company will benefit more than that in some quarters. I consider it beneficial for the company's company because home broadband is going to increase rapidly. ' Analyst said that Jio Fiber's strategy has now become similar to its wireless strategy, in which users are being offered cheaper tariffs than other companies, as well as adopting other methods such as digital ad and subscription.


Jio Fiber's 15 million connections in next two years

Bank of America Securities said in its report that the revamp of Jio Fiber's broadband plans is different from the company's original strategy, which offered better benefits to the price of plans offered by other companies. On the other hand, City Research has said that in the next two years, Jio Fiber will have 1 to 1.5 crore connections with Rs 750 ARPU which will contribute 9 to 12 percent to Jio's connectivity revenue.


Rs 399 plan changed game

Credit Suisse said, "In our view, Jio's new Rs 399 plan is a strong game changer as it can increase the number of fixed broadband connections in India as well as increase the reach of Jio's network." According to the firm, fixed broadband penetration in India is 7 percent and fiber penetration is 1 percent, which is 20–60 percent in other Asian countries.

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