Reliance Jio's new pricing targets 700 mn existing 2G users. Will it work?

Plans to cut tariffs by 40% or offer more data; risks denting its own ARPU, and impacting its revenues

It is perhaps the most aggressive onslaught by Reliance Jio to woo over 500 million feature phone users who use no or very little data.
 
During the last few weeks of January, Jio has effectively lowered its tariffs by 40-50 per cent through two successive offerings, either offering more data at the same price or lowering the tariff. 
 
What has taken the industry by surprise is the company’s limited-period Jio phone plan (the feature phone for which you pay Rs 1,500 upfront effectively comes free), which comes bundled with 1 GB high speed data for 28 days with