Reliance Jio Set for Commercial Launch of Network Services

The much-awaited commercial launch of Reliance Jio’s 4G network will see the daylight in months to come. All major preparations have been made and the stage is now set for the big day. Therefore, the company is using this interim period to terminate contracts with employees who were taken on-board for several projects.

Launch of commercial services

With regard to the launch, Asia-based investment group CLSA reported on the 6th of May that, the telecom arm was contemplating full-scale commercial operations from October onwards.

“With Jio willing to showcase its services to a larger user base, we may be nearing a commercial launch. We model a start of Jio’s commercial operations from October ’16… and model in 25 million/70 million subscribers by the end of FY17-18”, said CLSA analysts Vikas Kumar Jain, Deepti Chaturvedi and Akshat Agarwal. Furthermore, another report by Morgan Stanley on the 9th of May mentioned the service roll-out in the next three to nine months.

Jio collaborates with RCom

Morgan Stanley further went on to confirm the collaboration of Mukesh Ambani owned Reliance Industries with Reliance Communications (RCom). As per the report, the 850MHz RCom spectrum would be integrated into Jio’s spectrum to facilitate better coverage and network services for the latter.

Employee-driven projects

The employees working at Reliance Industries have been the driving force behind its network model. Mukesh Ambani at the 41st annual general meeting in June 2015 revealed that, the company had a work-force of around 17,500 people. He further stated that over 1,50,000 people were working towards branching out Jio’s broadband services across the country.

Releasing employees

With the system in place and services set to run, the company has considered it wise to release employees who have performed their role in the broadband program. The contracts with the latter initially spanned two years. However, the allotted projects were completed earlier than expected.

“Jio had hired some of the best minds in the business at exceptional pay packages. Once they finished putting the system in place, their services were no longer required,” said a senior executive with a global recruitment agency on condition of anonymity.

Trial phase

Employees of the telecom company achieved much success in the trial phase that required them to invite ten people to avail of Jio’s free data services. The offer included unlimited voice calls and data facilities for three months with the only pre-requisite being purchase of a LYF smart phone. While the services come at no cost, the trial SIM comes only with the LYF handsets such as EARTH 1, LYF WATER 1, LYF FLAME 1, LYF WATER 2, LYF FLAME 2, LYF WIND 4, LYF WIND 6 and LYF WATER 5.

Reliance Retail’s LYF Water 5 was the first handset to be launched under the brand. The company also resorted to online retailing for its sale by partnering with trending shopping portal Amazon. The Water 5 priced at Rs. 11,699 has seen an increase in customers ever since. To further promote sales of their smart TVs and LYF phones, Reliance Retail has approached several electronic retailers and online shopping portals. With a whopping Rs. 1.5 trillion invested in the venture, all hopes are pinned on the success of the commercial launch.

Summary

Reliance Jio Infocomm prepares to roll-out full-scale broadband operations in the coming months.

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