With 72 million subscribers enrolling for prime membership till March 31, Reliance Jio will remain disruptive given its aspirations, investment banking firm Jefferies said here on Wednesday.
Last week Jio reported that out of its over 100 million subscribers of free services, over 72 million have enrolled for the Jio Prime membership. The enrollment allows subscribers unlimited monthly data for a one-time annual membership of Rs 99 and monthly fee of Rs 303.
"This subscriber retention is well above the recent expectations of 50 million that were being built in. This will lend confidence in the ability of Reliance Jio to monetize services and challenge incumbents," Jefferies stated.
"The potential for R Jio to disrupt can be gauged from its aspiration to reach a 50 per cent market share. Given that the industry will be driven by a need for data capacity, Reliance Jio creating a 5x data capacity and a head start of 3-4 years vs competition should hold it in good stead and allow it flexibility to offer more for less price if needed to capture market share," the report added.