Reliance Jio unlikely to disrupt home broadband space, say analysts

May not affect Airtel's business significantly in terms of customer churn

The entry of Reliance Jio into the home broadband segment is unlikely to cause significant disruption, say analysts. This is in contrast to the bloodbath in the telecom sector in FY17 triggered by Jio’s entry.

It is also not expected to affect Airtel’s home broadband (which is the largest private stakeholder) business significantly in terms of customer churn.  However, Airtel’s home broadband average revenue per user (ARPU) is expected to dip 10-12 per cent to Rs 742, by FY21.

Jio’s free TV offer, however, may not be enough to draw consumers, the analysts said, after the official launch of JioFiber.

JioFiber is targeting