JioPhone Next Might Boost 10% Of Reliance Jio's Revenue: Here's How

|

JioPhone Next is all set to hit the market shelves from tomorrow (September 10). The ultra-affordable device is expected to increase Reliance Jio revenue by 10 percent. On the other hand, Airtel revenues might get hurt to 2 to 3 percent by FY23 as per brokerage firm Jefferies note.

 
JioPhone Next Might Boost 10% Of Reliance Jio's Revenue: Here's How

According to the note, the JioPhone is targeting a large market, which is close to 540 million, including JioPhone, feature phone, and smartphone users with the new smartphone, which might be priced under $100. However, it should be noted that there are chances that the smartphone might be close to Rs. 3,500.

The note said that JioPhone plans are 12 to 72 percent higher than its smartphone packs.

"While we see limited risks among Bharti's 2G users, assuming that 25 percent of its prepaid data users have a sub-US$100 device and 25 percent of these churn out due to potentially aggressive tariffs bundled with JioPhone Next, then our FY23 India mobile revenue estimates for Bharti could be hit by 2-3 percent," the brokerage mentioned in the note.

However, the brokerage firm added that users who are using $100 are unlikely to opt for the JioPhone Next device.

"Assuming replacement cycle of two years for smartphones and three years for JioPhone/feature phones, the addressable market for JioPhone Next could be 200 million devices annually," the brokerage said.

It is worth noting that since FY17 smartphone prices are increasing. This clearly shows that 75 percent of smartphones are priced above $100. Besides, CLSA said that the smartphone user base is expected to increase to 668 million by 2024 from 435 million in FY21. "While Q1 FY 22 shipments were hindered by a second wave of pandemic and state lockdowns, Q2 FY22 shipments may be lifted by Reliance Jio's smartphone," it added.

 

JioPhone Next Specification

The JioPhone Next will be available from tomorrow and is expected to have thick bezels, Snapdragon 215 SoC, 3GB of RAM, and 32GB of onboard storage. In addition, the upcoming smartphone is likely to have a 13MP camera on the backside and an 8MP camera on the front for selfies. The JioPhone Next will feature a 5.5-inch HD display and run Android 11 (Go Edition).

Most Read Articles
Best Mobiles in India

Read More About: reliance jio news

Best Phones

Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Yes No
Settings X
X