TRAI declares Jio tariffs as being in full compliance with regulations and existing tariff orders : Report

By February 2nd, 2017 AT 9:11 PM

The Telecom Regulatory Authority of India has reportedly declared after due examination that the tariff plans being offered by new entrant Jio do not violate any of the regulations or existing tariff orders. This came in response to a plea raised by Bharti Airtel and Idea cellular against TRAI to the Telecom Tribunal TDSAT whereby it had accused the regulator of allowing Jio to continue itss free offering beyond 90 days.

Reliance Jio

As reported by Economic Times, TRAI is expected to communicate its response to the Incumbent operators soon. TRAI’s views are in line with those of the Attorney General who in turn did not find Jio’s tariffs as being Predatory as pointed out by the incumbent operators.

As we reported during the hearing at TDSAT yesterday, TRAI counsel submitted that the regulator has already taken a decision on the issue, after which TDSAT directed TRAI to file its decision. The next date of hearing on the matter is February 6.

TRAI had last month demanded Jio to justify as to why its introductory promotional tariffs should be considered as non predatory and also to prove as to how they do not violate any of the existing regulations and tariff orders. In response Jio had stated that the welcome offer and happy new year offer were considerably different, where the former provided 4GB free high speed data and latter provides only 1GB per day, also the HNY offer has the provision to top up for restoring high speed data beyond FUP which the welcome offer lacked.

In terms of market dominance, Reliance Jio said it accounts for 6 per cent market share in the country whereas the Competition Commission of India (CCI) norms specify 30 per cent threshold to trigger the misuse of market dominance clause.

This spells relief for Jio and increased woes in terms of loss of revenue for the incumbent operators. Other sources have revealed that Jio may consider extending similar offering post 31st March at a negligible recharge denominations to test the price point that its subscribers would be willing to pay for the services and to prevent mass disconnections at the end of the free ride.

Read more on:

Esmail is our very own in-house spectrum specialist. He is passionate about Telecom, DTH and OTT video streaming apps. When not writing an article, you can find him binge watching shows on Netflix while sipping on a cup of coffee.

guest
25 Comments
newest
oldest most voted
Inline Feedbacks
View all comments

Recent Posts

Tata Sky New Broadband Plans Offer Unlimited Data and Faster Speeds at Low Prices

Tata Sky had to revamp its broadband offerings looking at what JioFiber and Airtel Xstream Fiber did with its offerings...

Samsung Galaxy S20 FE With Snapdragon 865 and 120Hz AMOLED Screen Goes Official

Expanding the Galaxy S20 lineup, South Korean smartphone brand, Samsung officially launched the Galaxy S20 FE (Fan Edition) with flagship...

Reliance Jio Might Release $50 Smartphone to Rival Chinese Brands

In the Reliance Industries Ltd AGM 2020, the company announced that its subsidiary Jio is partnering up with Google to...