Sunday, September 24, 2017

1GB per day-the new data normal due to Reliance Jio

In the 2016-17 annual report of Reliance Industries, they disclosed that the average data consumption per Reliance Jio user is  10GB/month (as against a quota of 1GB/day or 30GB/month). This implies a data pack utilization of 33%, that too on a daily basis w/o usage accumulation, which is great. The icing on the cake, introductory pricing of Rs 100/month. In parallel, smartphones are getting cheaper, with a 4GB RAM, 64GB storage and 400Mah battery phone now costing Rs 9,000(or more). This is beneficial for content owners and apps since folks have more money to spend on their services, and ability to consume on the move(this was earlier not feasible due to high mobile data costs, but with someone who takes the JioFi dongle along, they have their own hotspot in lieu of mobile data)

The implications of this are
-Cloud based services like Wynk(Rs 99/mth), Hotstar(199/mth) and Kindle Unlimited(150/mth) are getting a great audience
-Video hungry channels like Sports, TVF, Comedy, Amazon Central which are usually consumed during commute also gain
-Losers are telcos who got very high data ARPU customers due to the propensity to consume on the same SIM, but now using JioFi dongle, they have their own 24*7 Wifi hotspot using the same phone
-To be fair, Jio has its hassles such as network disruption, dongle life around 6hrs and potential radiation concerns by carrying the dongle with you. Also, employers may not be overjoyed with people using Wifi in office.

Yet, with other companies following suit, the data revolution in India is now in progress

1 comment:

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