India to Have Unlimited Free Internet Access

November 3, 2016

Unlocking Word Meanings

Read the following words/expressions found in today’s article. 

1. entice / ɛnˈtaɪs / (v.) – to draw people’s interest by producing excitement for something
Example: The new advertisement enticed the audience to purchase the featured product. 

2. introductory / ˌɪn trəˈdʌk tə ri / (adj.) – given or offered at the opening or start of something, such as the selling of a product, the offering of a service
Example: The introductory price of the product is 40% less than the original price. 

3. deprive / dɪˈpraɪv / (v.) – to prevent someone from enjoying or experiencing a certain thing
Example: Being grounded deprived him of the chance to hang out with his friends.

4. economical ˌɛk əˈnɒm ɪ kəl / (adj.) – low-cost or budget-friendly
Example: The brand will be launching an economical version of its latest smartphone model. 

5. phase / feɪz / (n.) – a stage in a process
Example: The new smartphone is still in the testing phase


Read the text below.
An upcoming Indian mobile service provider has offered unlimited Internet access before its official launch.

Reliance Jio, a telecommunications company, is planning to establish itself as the most affordable network operator in the country. This company is under Reliance Industries, which is owned by renowned billionaire Mukesh Ambani. To entice potential subscribers, its promotional strategy includes offering unlimited free access to Long-Term Evolution (LTE) data, an advanced wireless communication technology, starting September 5. The said offer will last for three months.

Apart from its introductory promo, Reliance Jio also promised to deliver high-speed Internet connection that can surpass other local networks for only 149 rupees ($2.25) a month. 

Currently, only one out of five Indian adults have access to the web, and public Wi-Fi spots are scarce. Through Reliance Jio, Ambani wishes to change the lives of hundreds of millions of Indians by giving them what they have been deprived of. He aims to fulfill his vision of making high-speed 4G (fourth generation) technology available in 90% of the country by March 2017.    

Amresh Nandan, research director at New Delhi-based consulting firm Gartner, described Indians as cost-sensitive. He explained that despite having the financial means, Indians would still go for economical options. Thus, Reliance Jio has attracted around 1.5 million users since it began its testing phase

Recent data on the performance of India’s telecommunications companies have shown that Reliance Jio’s entry into the market is changing the industry’s landscape. Shares of competitor Bharti Airtel, India’s telecommunications industry leader, have reportedly dropped by 6.4%, while shares of Idea Cellular dropped by over 10%. This decline urged Airtel to extend new postpaid plans that offer unlimited calls using 3G (third generation) and 4G data.  

Viewpoint Discussion

Enjoy a discussion with your tutor.  

Discussion A

·         Do you think that Reliance Jio’s strategy will be effective in retaining subscribers? Why or why not?
·         Aside from offering unlimited LTE data, what other possible strategies can Reliance Jio implement to attract subscribers? 

Discussion B

·         If you were to start a business, would you rather cater to a larger, cost-sensitive market, or to a smaller, high-income one? Explain. 
·         What are the advantages and disadvantages of having unlimited access to a certain service? Discuss. 

November 3, 2016