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Jio extends freebie offer yet again

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Dennis Masters
Apr 03, 2017 10:49
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Reliance Jio has extended the deadline for its latest subscription plan for an additional two weeks, as well as introducing another three month freebie offer for new customers.

While there has been little reaction at the time of writing, the move is hardly going to be welcomed by competitors, who have questioned the legitimacy of the length of the deal, and whether there is preferential treatment of the newcomer.

Following the decision to extend the freebie offer in December, the market old-timers raised objections, arguing the extension was contrary to competition laws, though these objections have been shot down by the Telecom Regulatory Authority of India (TRAI).

The objection here is built around the idea that business cannot intentionally run continuous loss making promotions, as it would unfairly impact competition and sustainability in the market long-term.

Should one be sceptical, one could argue Jio’s ‘promotional’ offer is primarily driven with the ambition of harming competitors as opposed to enhanced its own position.

Though this does not seem to be the opinion of TRAI, which seems to view Jio as the golden child who can do no wrong, as it continues to apparently green-light extensions for the ‘promotional’ freebies.

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Dennis Masters
Apr 03, 2017 10:49
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