Reliance Jio Infocomm is expected to use between 30,000 and 45,000 mobile towers when it starts offering 4G services in the third or fourth quarter of this financial year, according to Credit Suisse.
"Our recent channel checks suggest that RJio has completed about 11,000 base station installations nationwide and is possibly targeting 30,000-45,000 base stations by launch. We expect this target to be met by December 2014 or March 2015," Credit Suisse analysts Sunil Tirumalai and Chunky Shah said in a recent report.
Reliance Jio Infocomm has said it would use the mix of airwaves it owns to offer both high-speed data and voice services while scoffing at analyst comments that the company could find it tough to attract customers without providing voice options. The company is building "futuristic high-capacity infrastructure to handle huge demand for data and voice" using fourth-generation technology, a Reliance Jio spokesman said.
"In addition to highspeed data, the 4G network will provide voice services," he said. According to some analysts, since the company owns spectrum in the 2300MHz and 1800MHz bands — which are non-standard and more suitable to carry data — its cost to roll out services will go up by 35-40%, limiting the ability to offer low-cost voice services that account for 80% the industry's revenue.
The situation could get grim if Reliance Jio is driven to sell customised phones amid weak mass market availability of devices that work on 4G technologies, analysts at HSBC said in a report. But, Reliance Jio said rapid strides in global 4G technologies have made these devices more affordable.
Also, Wi-Fi enabled second- and third-generation devices can access Reliance Jio's services through an affordable pocket router, the spokesman said in an email, responding to queries from ET.
"Our recent channel checks suggest that RJio has completed about 11,000 base station installations nationwide and is possibly targeting 30,000-45,000 base stations by launch. We expect this target to be met by December 2014 or March 2015," Credit Suisse analysts Sunil Tirumalai and Chunky Shah said in a recent report.
Reliance Jio Infocomm has said it would use the mix of airwaves it owns to offer both high-speed data and voice services while scoffing at analyst comments that the company could find it tough to attract customers without providing voice options. The company is building "futuristic high-capacity infrastructure to handle huge demand for data and voice" using fourth-generation technology, a Reliance Jio spokesman said.
"In addition to highspeed data, the 4G network will provide voice services," he said. According to some analysts, since the company owns spectrum in the 2300MHz and 1800MHz bands — which are non-standard and more suitable to carry data — its cost to roll out services will go up by 35-40%, limiting the ability to offer low-cost voice services that account for 80% the industry's revenue.
The situation could get grim if Reliance Jio is driven to sell customised phones amid weak mass market availability of devices that work on 4G technologies, analysts at HSBC said in a report. But, Reliance Jio said rapid strides in global 4G technologies have made these devices more affordable.
Also, Wi-Fi enabled second- and third-generation devices can access Reliance Jio's services through an affordable pocket router, the spokesman said in an email, responding to queries from ET.
