Reliance Jio’s 4G launch to hurt telecom operators’ data revenue

Mukesh Amabni-owned Reliance Jio’s launch of 4G services is a major threat to data tariffs and it could disrupt data pricing, leading to data realisations softening by 30-40% by FY17 from the current levels, according to India Ratings and Research (Ind-Ra).
“A steep decline in data realisations coupled with gradual growth in consumption volumes could lower the data ARPUs. Data ARPUs have been growing, led by growth in per capita volumes consumed, which is offsetting the declining data realisations,” the ratings agency said.