Jio postpaid plans: BofA, CLSA think its not a threat to Airtel; here's why

CLSA believes that new Jio postpaid plans are bundling three leading OTTs, but with no content exclusivity, can be matched by incumbents like Bharti Airtel

Bharti Airtel tumbled at the bourses on Wednesday, sinking 10 per cent in the intra-day trade to hit a low of Rs 424, after Reliance Industries’ Jio rolled out new postpaid plans bundled with OTT (over-the-top) subscriptions. The stock eventually settled 8 per cent lower at Rs 434 apiece. On Thursday, however, the stock – even though in the red – was outperforming the market and was down 1 per cent on the BSE, as against a 2 per cent decline in the benchmark S&P BSE Sensex in intraday deals.

While prima facie, Jio’s new plans look aggressive and are