Reliance Jio Has Started Charging 6 paise/min To Connect A Voice Call With Other Telecoms
- October 16, 2019
# Finally ending the era of free voice tariffs
As Jio had ended charging for voice tariffs, it again started.
Reliance Jio has started charging extra to connect with other telecom users, as this is to recover 6 paise a min interconnect usage charge (IUC) it needs to pay to other telcos. It came to know in an interview with Mukesh Ambani-led telco, who had promised to keep all voice calls free, said that it was compelled until the regulator brings this IUC fee down to zero. But as compensation to its users, all the other tariffs will remain free, calls from JIO to JIO, to landlines and to other apps such as what's app and others. All the customers who want to connect a call with other telcos need to subscribe for, additional vouchers, which starts from Rs. 10, Rs. 20 and so on.
To soothe the customers who are unhappy to pay extra charges to connect with other telecoms, JIO offered 30 min free voice calls after the first recharge, the offer is valid for the first 7 days after this announcement. Social media like twitter is filled with criticized twits of JIO moves. JIO customers are reminding the three years ago JIO's promise of free lifetime voice calls which forces people to port into it.
The sector regulator had brought down the IUC charges from 14 paise a min to 6 paise a min and decided to crumb the charge from January 2020. Shares of Bharati airtel and Vodafone Idea raised high after the JIO's rumor to increase the tariff rates. These two telcos could easily take counteraction to JIO's move by raising voice rates and got a good opportunity to raise tariff rates as well.
Sanjiv Bhasin, EVP markets, IIFL said JIO's move was good for other besieged Telco sector as ARPUs and tariffs could finally start getting better after staying at 'indefensible levels' for a long period of time. But he also said that JIO can raise the rates because it has gained market shares and since it's doing well. This Festive season could be a win-win situation for all the three major telcos which has gone through the unfavorable price and raising the charges. With the ease of money, higher tariffs should portent well for all the three telcos.
Now it seems that finally the era of freebies coming down to its end. Customers need to understand that they need to shell out a bit more for mobile phone services.