Launch of Reliance Jio 4G will put pressure on other telcos: Nitin Raheja

In a chat with ET Now, Nitin Raheja, Co-Founder, AQF Advisors, shares his views on Reliance Jio. Edited Excerpts:

ET Now: Reliance Jio got that permission to launch its 4G services. How big is this news for the telcos, particularly Bharti and Idea?

Nitin Raheja: If you look at from a telco perspective, it is a potent threat. Reliance has been trying to set up this whole network for the last many years. There is a lot of backend investment that they have set up. They will pose a potent threat. If you look at it from a consumer perspective, it is something fantastic. Even today at the retail level, there is lack of a credible large internet service provider. We have all faced various issues at various points of times. Reliance Jio is going to be a potent threat. It is going to put pressure on the whole data story.

Having said that, Reliance has not really been particularly successful in getting a retail story going even in the past, be it Reliance Retail or their past effort through Reliance Communication. It is really a question of whether they are able to get this right as such but from a consumer perspective, great news.