InvestorQ : How do you see the telecom market evolving with Bharti and Vodafone losing market share heavily to Reliance Jio?
Mary Joseph made post

How do you see the telecom market evolving with Bharti and Vodafone losing market share heavily to Reliance Jio?

Answer
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2 months ago


The signs are not too good for old players Bharti Airtel and Vodafone Idea. For the month of May, both Bharti and Idea lost 4.7 million subscribers each. On the other hand, Reliance Jio managed to add 3.7 million users during the month, according to data put out by TRAI.

TRAI has reported a sharp fall in the total wireless subscription by 5.61 million customers in May largely due to the mass migration of workers. As a result, the number of urban wireless users fell sharply while the rural users saw a sharp increase.

The fall in the number of subscribers in May 2020 only accentuates the trend of April, which had witnessed a loss of 8.2 million subscribers. Analysts have opined that telecom operators lost subscribers in the June quarter due to exodus of population from urban to rural areas.

Interestingly, India’s landline network also lost subscribers during May with fixed line subscribers falling from 19.9 million to 19.77 million on a MOM basis as on 31 May. India needs to urgently ramp up its broadband infrastructure.