Reliance plans to offer 1gb at 10rs 4G service on Rs 3,500

Reliance plans to offer 1gb at 10rs 4G service on Rs 3,500

Mukesh Ambani’s Reliance Industries may launch attractively priced tablet by the end of 2012 with high speed data services. The tablet will be deployed with an advanced 4G technology. The fourth generation technology offers faster internet services in comparison to third generation or 3G.

RIL plans to launch tablets using 4G services as base at around Rs. 3,500. This plan includes data offering that is as low as 1GB at Rs. 10, which is one tenth of the current prices of 3G. Thus, Reliance’s entry with disruptive price may nullify the existing mobile operator’s business case for 3G. These operators offer 1GB of data at Rs 100 at present (on an average). Analysts believe that RIL’s entry may pose threat to Tata Services and Sistema Shyam, the largest players in the plug-in devices business, which provides wireless internet connectivity. This is because; RIL had earlier declared their plan to launch services in the mid next year on data cards.

Reliance has paid Rs. 13,000 crore for the 4G technology airwaves. This makes RIL the only company to have pan-India spectrum to offer wireless broadband services on 4G technology platform. RIL will launch services based on Qualcomm’s LTE (long term evolution), which is in testing phase. To avoid mistakes of the past, the company is trying to analyse lessons from its previous venture into mobility.