It's just been a year since the launch of Reliance Jio in the Indian telecom sector and the company has created waves of disruption with first, its free offer period of six months and second, a range of aggressively priced offers that have forced the incumbent operators to drop their tariffs too.
JioFiber is expected to do the same with the broadband industry. The service will introduce state of the art technology to bring high-speed broadband at nominal prices. However, the launch date of the service is still under question.
Earlier this year, the company announced that they will be launching JioFiber in Mumbai, Delhi-NCR, Ahmedabad, Jamnagar, Surat and Vadodara for free under its JioFiber Preview Offer.
Last month, a picture was posted on Reddit, showing us a glimpse of what the JioFiber plans might look like. The image shows that the company will be offering 100Mbps speed with a cap of 100GB per month at Rs 0 for 3 months. Which looks like the same 'effective price' strategy as JioPhone.
There is no official time stamp given to the commercial launch of the service but it's expected to launch in the last quarter of this year. The data is free but the user will have to pay Rs 4,500 for the installation. However, even this amount can be refunded later according to the company. One of the biggest factor with the new service will be a free-period of three months.
Similar to what Reliance Jio did with its 4G services in September, JioFiber is expected to create the same affect in the broadband industry.
In May, Reliance Jio officially announced that its broadband service JioFiber is being rolled out in Mumbai, Delhi-NCR, Ahmedabad, Jamnagar, Surat and Vadodara for free under its JioFiber Preview Offer.
Jio's broadband offer will come with a JioMedia share device, a smart set top box, routers and Power Line Communication devices, in a bid to promote additional Jio services.
Later when the offer period ends, the broadband service prices are expected to start at Rs 500 for 600 GB data and for 1000 GB data at 100Mbps speed subscribers would be required to pay Rs 2,000 a month.
One of the biggest players in the broadband arena, Airtel, has already sensed the coming tariff war in this segment. The largest telecom giant has offered various updates to its existing broadband plans. State-owned BSNL and MTNL will be most affected by Jio's move as they still claim majority broadband connections in the country.