Jio and Airtel Duopoly Might Kill Innovation in Indian Telecom: Opinion

Most subscribers of the telecom industry are either using the services from Reliance Jio or Bharti Airtel. Jio came into the market in 2016 and has become the number one telco in the country quickly. Since its entry, multiple telecom companies have gone out of service. Apart from Jio, only three operators remain – Airtel, Vodafone Idea (Vi), and Bharat Sanchar Nigam Limited (BSNL).

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Both Vi and BSNL haven’t seen good days for a long time now. Even Bharti Airtel had to move very aggressively, putting all of its resources into play just to be able to compete head-to-head with Jio. Only two operators (Jio, Airtel) are essentially playing the market, while the other two (Vi, BSNL) are surviving and trying not to go bankrupt. If things stay the same and a duopoly between Jio and Airtel is formed, it might kill innovation in the Indian telecom industry.

Jio and Airtel Duopoly Nightmare

Reliance Jio and Bharti Airtel’s duopoly nightmare might become true in a few years. BSNL is facing roadblocks, one after another, for launching its 4G network in India. It would be a sad reality to live in if the government-run telco can’t even roll out its 4G network while the private players already start competing in the 5G domain.

Adding to this, if things remain the same for Vi, it might go bankrupt sooner than later. The telco is losing subscribers quarter after quarter even though it provides some of the most unique offers.

Shall the day comes and a duopoly between Jio and Airtel is formed, it will lead to slow growth and less innovation in the Indian telecom industry. Both the telcos will set the rules, set the tariff floors, and relax while they each make a ton of money because of no competition.