India’s top telco, Reliance Jio, is looking to disrupt the enterprise market by launching its enterprise-grade fibre broadband service, which will come bundled with digital solutions and devices for the Micro, Small and Medium Businesses (MSMBs) segment. The company is initially targeting to serve 50 million MSMB customers in the country.
Jio claimed that it would offer broadband connections to the MSMB customers at one-tenth of the market cost, starting at just Rs 901 ($12) per month. It is offering unlimited broadband usage with 100 megabit per second upload and download speed.
Jio has launched seven plans with monthly rentals in the range of Rs 901 to Rs 10,001 ($12-$138) and broadband speed in the range of 100 Mbps to 1 Gbps.
“Micro, small and medium businesses are the bedrock of Indian economy. Currently, in the absence of an integrated digital services offering and the knowhow to adopt advanced enterprise offerings, they are unable to leverage the power of digital technologies to run their businesses efficiently,” Akash Ambani, Director, Jio said in a statement.
Ambani said that a micro and small business currently spends between Rs 15,000- Rs 20,000 ($205-275) per month towards connectivity, productivity and automation tools.
“Today, we are taking the first step towards empowering small businesses by giving these solutions, along with our connectivity, for less than 1/10th the cost, starting below one thousand rupees per month,” he added.
The Mukesh Ambani-led telecom operator said that it would provide digital solutions such as remote management of employees, video conferencing and devices as a service for a monthly rental of Rs 5,000. The plan also offers access to various Microsoft enterprise services, including Microsoft 365 with Office Apps, Outlook Email, One Drive and Microsoft Teams.
Jio also claimed that the plan is 50% cheaper compared to its rivals such as Bharti Airtel, Vodafone Idea and BSNL.
“With this step, I am certain that millions of micro, small and medium enterprises will propel towards prosperity and march towards creating a new Aatmanirbhar digital India,” Ambani added.
Ambani further added that MSMBs are the bedrock of the Indian economy, and in the absence of an integrated digital services offering and the “know-how to adopt advanced enterprise offerings, they are unable to leverage the power of digital technologies to run their businesses efficiently.”
“Now, JioBusiness will bridge this gap by providing integrated enterprise-grade voice and data services, digital solutions and devices, to small businesses. These easy-to-use solutions will help them run their business efficiently and compete with larger enterprises,” Ambani said.
Reliance Jio, India’s leading telecom operator by revenue and subscribers, is also building its enterprise business with the help of cloud services, fibre connectivity, Internet of Things (IoT) and a suite of enterprise solutions.
Jio recently informed its investors that it was in advanced talks and trials with original equipment makers (OEMs) to launch narrowband Internet of Things (IoT) or NB-IoT services. It claimed to have developed a comprehensive solution with device, diagnostics, connectivity, platform and support.
Jio aims to connect at least a billion connected IoT devices to its Internet of Things (IoT) platform, eyeing a Rs 20,000 crore ($2.74 billion) annual revenue opportunity.
Jio’s rivals Airtel and Vodafone Idea are aggressively focusing on building their enterprise business by adding new capabilities and entering into new segments to drive their revenues in the country. They are also trying to capture the digitisation opportunity in the country as enterprises across categories quickly digitise their business to cope with the challenges introduced by the ongoing pandemic.
Industry analysts said that enterprise businesses had contributed just 10% to any telco’s revenues in India. With an increased focus, Indian telcos could grow the share to 20-25% of their businesses in the next couple of years.