Airtel and Reliance Jio to Surpass Vodafone Idea In terms of Revenue Share in 2019: Analysts

Going by the words of analysts and experts, the second-ranked Sunil Mittal Bharti led telecom operator Airtel and Reliance Jio Infocomm, the latest entrant in the industry might race ahead of the top telecom operator of India, Vodafone Idea, by the end of 2019. As per an ET Telecom report, Bharti Airtel will surpass Vodafone Idea in 2019 in terms of revenue market share on the basis of a robust 4G network. The experts have also chipped in saying that the current market leader’s focus will be on integrating the two companies. They have further added that with the companies pursuing a goal of higher average revenue per user (ARPU), the industry marker might witness a rise too. More data consumption attributing to an election year is also a considerable prospect.

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Experts Predict a More Stable Industry in 2019

The analyst maintained their position and said that the industry would also witness stability in 2019 as Reliance Jio has already amassed 275 million subscribers and nearly 27% RMS signalling a slowing in its intensity of customer acquisition. The Cellular Operators Association of India (COAI), however, is of a different opinion and believes that the competition and pressure of declining ARPU will trouble the sector in 2019 also.

Nitin Soni, director (corporates) at Fitch Ratings said about this, “Airtel and Jio could end up holding roughly 33% RMS each by end-2019, while Vodafone Idea’s could drop below 30% by end-2019 from its near 33% level now, as the latter is likely to face network integration challenges and not be in a position to offer 4G services comparable with either Jio or Airtel.”