Telecom Companies Have Threat from Tech Majors than Jio
India’s fastest growing network is apparently displaying its might. Reliance Industries launched its telecom service last year. Dubbed as Jio, the service comes with affordable data costing and free of cost voice calls. And now, the company has declared something of an ultra-affordable smartphone.
The current player Airtel, in the mean time, has blamed Reliance of voracious pricing to make the competition tougher. Both telecom firms are utilizing old strategy in the new market. The real danger for them will not arrive from each other but from the technology drivers of the world such as Facebook, Google, and Apple. These tech majors are ready to turn over telecom models ubiquitously all around the globe.
In the past 2 decades where mobile telephony has soared, it has modified from being a high-expansion industry to a bumbling service. Telecom companies, these days, are similar to a provider of electricity or water. A small number can be influenced to live a life without a smartphone. In the lead-up to support each person everywhere with one, and perhaps even several handsets, telecom companies aimed on the game of numbers. They failed to invest in burst through technologies internationally.
In India, telecom companies grew by keeping services floating in crowded pockets, abandoning smaller cities, towns, and remote regions. They billed persistently for voice calls on a per-minute model that habitually fell. Higher-value users were beaten with huge fees on international calls, roaming, and data usage. And users selecting for the supposed “high-speed services of data” grappled to view a 30-second video from YouTube, uninterrupted.
Meanwhile, Skype came into the picture. WhatsApp made instant worldwide messaging affordable. And Google-possessed YouTube allowed offline download of videos. YouTube Go, an additional squeeze, permitted users to select resolutions to tide over patchy data, solving inefficiency led by telecom companies. Consequently, technology disturbance lowered the value-added services of telecom companies to nothing.
Consequently, for now, telecom companies play role of connectivity pipes. This means telecom companies will find users shopping with the best network quality. The quality pledge will turn out to be the only approach to survive, not just for current players but even for a newbie like Jio. In many ways, telecom companies will not be provided with the choice to carry on with patchy schemes. The daredevils of digital age are pushing users experience at the core of their schemes.
For now, let us see what measures the telecom companies take against this situation.