During my MBA tour to South Africa, we met the CEO of Volkswagen group (SA) and one thing he said during our discussions was – “Competition Solves Everything”
Jio is doing great. Not that Jio competitors lacked the deep pockets (Airtel, Vodafone, Idea) but they cartelized telecom, and pricing was way too high. From charging Rs. 258 for 1 GB of data and calls charged per minute, overnight these same companies started offering what Jio was able to offer.
Customers got benefitted big time. Imagine WFH today at the pre-Jio rates. And Jio itself is doing good as a business and its growth trajectory.
Date | Price Paid (In $B) | % sold | To | Price / % |
22-Apr-20 | 6.05 | 9.9 | 0.61 | |
4-May-20 | 0.79 | 1.1 | SilverLake | 0.71 |
11-May-20 | 1.58 | 2.3 | Vista | 0.69 |
17-May-20 | 0.92 | 1.3 | General Atlantic | 0.70 |
TOTAL | 9.33 | 14.6 |
$ Billion | |
Jio Valuation | 63.9 |
Jio stake sale (14.6%) | 9.3 |
Jio Investments | 37 |
On a side note, telecom in the US also has very high pricing. On AT&T, I was paying approx $75 for unlimited calling and 5 GB of data/month. Way expensive. If Jio goes in there (which regulations may not permit), they will just rule.
Also read, Brand Bytes – Do you know these 5 coolest facts about “TESLA”?
One Life. Live Boundless.
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