Jio targets customers languishing on 2G with launch of budget 4G phone


News

The company will target the roughly 20% of Indian mobile subscribers still using 2G feature phones

This week, Reliance Industries, parent company of Indian mobile operator Reliance Jio, has announced the launch of a 4G-enabled phone costing just Rs 999 ($12).

The new 4G phone, named Jio Bharat, runs on Reliance Jio’s proprietary operating system and comes with a suite of home-grown applications, including the video streaming app JioCinema, music app JioSaavn, and mobile finance app JioPay.

Jio says Jio Bharat is the cheapest 4G-enabled phone in the country, a fact which they hope will entice some of the roughly 250 million Indian customers currently only capable of using 2G connectivity to make the purchase.

“There are still 250mn mobile phone users in India who remain ‘trapped’ in the 2G era, unable to tap into basic features of the internet at a time when the world stands at the cusp of a 5G revolution,” said Reliance Jio chair Mukesh Ambani.

“Six years ago, when Jio was launched, we made it clear that Jio will leave no stone unturned to democratize internet and pass the benefits of technology to every Indian. Technology will no longer remain a privilege for a select few,” he added.

Jio’s initial beta trial is the sale of one million devices – no small feat, but still only a tiny dent in market that contains nearly 1.5 billion people. Nonetheless, if successful, the move could further consolidate Jio’s position as the frontrunner of the Indian mobile market and pile pressure onto its rivals, particularly the struggling Vodafone Idea (Vi).

Some analysts suggest that the introduction of the new phone model with its accompanying cheap data plans could represent a significant threat the competitiveness of Jio’s rival Bharti Airtel, which has been vying for the country’s top spot for over a year now.

“We believe with this phone Jio can take market share at the lower end of the market. This also puts Bharti at risk as it can see increased churn from its recent 2G price action of increasing the Rs 99 plan to Rs 155 plan,” said JP Morgan in a note. “We believe this is negative for Bharti as any hopes of a tariff hike should be diluted over the next 12–18 months.”

Others, however, say Airtel could be less concerned. Brokerage firm BNP Paribas argues that the customers Jio is targeting with this new phone already had a chance to jump to Jio’s now discontinued smartphone, Jio Phone, in previous years and refused to do so. Airtel argues that Jio Phone had numerous additional features and advantages compared Jio Bharat, and could even be attained for a cheaper price, but this was not enough to lure customers away.

The exact impact of Jio Bharat’s launch remains to be seen but, given Jio’s intense track record when it comes to aggressive marketing strategies, this latest entrance into the mobile phone market has every reason to turn heads.

Will the launch of Jio Bharat help Jio to extend its subscriber lead over its rivals? Join the operators in discussion around market disruption at this year’s Total Telecom Congress

Also in the news:
SK Telecom overhauls AI service ‘A.’ using ChatGPT
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SKT invests $100m in flying taxi company Joby Aviation

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4iG sells off mobile infrastructure for $199m

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Construction begins on Medusa submarine cable system


Press Release

Alcatel Submarine Networks (ASN), Elettra Tlc, Medusa and Orange are pleased to announce the coming into force of the construction contract for the Medusa Submarine Cable System. This milestone marks the start of an ambitious project that will boost connectivity across the Mediterranean.

Medusa will establish crucial connections between Morocco, Portugal, Spain, France, Algeria, Tunisia, Italy, Greece, Cyprus and Egypt. The subsystem named Via Tunisia, part of the Medusa Cable, linking France and Tunisia, is cofunded by the European Union under the Connecting Europe Facility (CEF) program, as already announced by Orange.When complete, Medusa will span an impressive distance of over 8,700 kilometers, making it the longest cable in the Mediterranean Sea and providing enhanced North-South and East-West connectivity.

The construction has been awarded to industry leaders ASN and Elettra Tlc. The Medusa system is built on stateof-the-art 24-pair fiber optic Open Cable technology to meet increasing broadband requirements in the region, with 20Tb/s minimum capacity per fiber pair.

Elettra Tlc will promptly engage survey operations, while equipment manufacturing and installation are planned to span over 2024 and 2025. Orange will provide landing infrastructures in France, Tunisia and Morocco.

By connecting North Africa and Southern Europe, as well as several of the Mediterranean islands to the mainland, including Sicily, Crete and Cyprus, the Medusa submarine cable system will create unprecedented opportunities for collaboration, innovation and economic development. It will also provide an effective bridge between the Mediterranean and Atlantic regions, facilitating increased communication and cooperation across all these areas.

Medusa is committed to reducing the digital divide and this construction is an important step towards achieving this goal.

The construction of Medusa is funded by AFR-IX Telecom, Orange and the European Union though CEF (Connecting Europe Facilities) grants.

This collaboration highlights the commitment of industry leaders and governmental organizations to contribute to a more connected and prosperous future for the Mediterranean region.

Norman Albi, CEO of Medusa, highlights the strategic value of Medusa to improve connectivity in the Mediterranean: “We have been working for more than 3 years to reach this point and we are tremendously grateful to all those who, from early stages, supported Medusa: collaborating companies and European institutions. Thanks to the support of North African Operators, financial institutions and leading companies such as ASN, Elettra Tlc, Orange and AFR-IX Telecom, Medusa will be in service the 4th quarter of 2025”

Paul Gabla, Chief Sales and Marketing Officer of ASN said “The Medusa submarine cable system marks a major step forward in telecommunications infrastructure. ASN is honored to be at the forefront of this ambitious project, which will bring high-speed Internet connectivity and seamless communication to the region, unlocking a world of opportunities for businesses, communities and individuals throughout the Mediterranean region.”

Didier Dillard, President and CEO of Elettra Tlc said “We are very happy to be in charge of the marine works for the first phase of the MEDUSA project, the marine survey and the installation. Elettra Tlc is a true Mediterranean company that has installed and repaired a very large number of cables in this area, and we are excited to contribute to the construction of this future telecommunications backbone of the Mediterranean Sea.”

“Orange is delighted to put its leadership and industry expertise in the construction of this new system that will foster digital exchanges between Europe and North Africa and to welcome Medusa into its carrier neutral infrastructures in Marseille” said Aurélien Vigano, Vice President International Transmission Networks at Orange.

The submarine cable ecosystem is evolving. Join the cable operators and the wider connectivity industry in discussion at Submarine Networks EMEA 2024

Also in the news:
SK Telecom overhauls AI service ‘A.’ using ChatGPT
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SKT invests $100m in flying taxi company Joby Aviation

ZTE aids in bagging GSMA AMO award

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
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Foxconn to inject $246m into Vietnam

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
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SK Telecom overhauls AI service ‘A.’ using ChatGPT


Press Release

SK Telecom today announced that it has released a major UX overhaul of its AI service ‘A.’ (pronounced A dot) to enhance customers to enjoy various content based on personal tastes and preferences. The reorganisation includes enhancements to several features such as the addition of new AI agents that are capable of taking on diverse personas.

SKT has improved the UX of the main screen of ‘A.’ so that various content can be viewed on one screen at once according to the user’s unique preferences.

The company has also added a chatroom in ‘A.’ where users can have conversations with an AI character. Through these conversations, users can share information about their daily life like they are talking to a close friend.

In addition, SKT has added ‘Chat T’ to ‘A.’, using the ChatGPT model of Microsoft’s Azure OpenAI service. By asking ‘Chat T’ questions, users can receive rich and informative responses beyond simple answers.

SKT also upgraded its own Large Language Model (LLM) to enable users to engage in a multi-turn dialogue. The model can understand the context of a conversation and grasp complex intentions, thereby creating a more logical and useful conversation.

Furthermore, through a joint development project with Scatter Lab, an AI startup known for the Lee Lu-da chatbot, SKT has introduced its new AI agents named ‘A. friends’ to bring colourful personas to its improved ‘A.’

‘A. friends’ are applied with conversational AI technology that enables emotional and human-like conversations. By engaging in conversations with ‘A. friends’, users can receive counselling and advice on a wide variety of topics. The feature is available on Android with the iOS version coming at the end of July.

In addition, to enable more customers to experience generative AI, SKT eased the age limit for signing up for ‘A.’ so that those under 14 years of age can join the service.

“With the massive overhaul of ‘A.’, we expect more customers to feel comfortable and enjoy using our conversational AI,” said Kim Yong-hun, Vice President and Head of AI Service Business Office. “We will continue to evolve ‘A.’ into a service that can help customers in their daily lives in all kinds of ways.”

How is the AI changing the telecoms world? Join the operators in discussion at this year’s Total Telecom Congress live in Amsterdam

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Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
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Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.