Riding on the free voice and data offers, Reliance Jio Infocomm’s subscriber base may touch 100 million by March 2017 end said Nitin Soni, Director at Fitch Ratings. However, it may even shrink once the telecom operator starts charging its customers, he added.
“We think that Jio is adopting a very sound strategy of offering free voice and text services and free data till the end of March to bolster its subscriber base. They currently have 52-55 million subscribers and it could well increase to 100 million by end of March, but we will need to remember that these are free services,” Soni told BTVi in an interview.
“So as long as it is free, even a customer who is a customer of Airtel or Idea will still take a free Jio SIM to enjoy free services for the next three months. But I think there will be some churn when Jio will start charging from April 1 and that churn may well reduce the subscriber base by 5-10 percent,” he added.
Launched in September, Jio was offering its customers free voice and data till December 31 2016, which it has now extended till March 31 2017.