As Reliance Jio has gained a lot of momentum, due to its affordable data prices, other telecom companies have been facing excessive competition. Other telecom companies such as Airtel, Idea, and Vodafone have found a new lucrative way to tackle the reasonable prices that are offered by the Reliance Jio. According to a report in the leading business daily, The Economic Times (ET) which is associated with the national daily, Times of India, these telecom companies are planning to produce a very lucrative and as cheap as Rs 500 4G smartphone. According to the report, these three telecom companies are working to launch 4G devices at as low as Rs 500. Here are some of the essentials you need to know about this cheap 4G smartphone.
These massive affordable smartphones are expected to come up with a slew of data plans worth Rs 60-70 per month, in order to counter the new scheme of Reliance Jois’s Rs 49 plan for JioPhone with these phones. The aim is to retain all the users in order to upgrade them to smartphones. The penetration level of the internet in India is currently around 31% according to a report from the Internet and Mobile Association of India and market research firm IMRB International has stated.
The report states, Rural India with an estimated population of 906 million as per 2011 census has sadly only 163 million that is a mere 17% of Internet users. With a cheap amount of as low as Rs 500, the users in Rural India or perhaps in lower-middle-class strata, the penetration of internet usage might show some positive changes. Feature or basic phones in India still account for a large number of users in the country. These subscribers typically use 4G voice services, which has major connectivity issues in many remote areas in Indian villages and reportedly account for 65-70% of India’s billion-plus mobile subscribers. these feature phone users are said to contribute a good amount of 50% of the telecom sector’s revenue.