At least, two out of top three telcos will bleed in FY18, but competition will only heat up further as leadership is always worth bleeding for, Srinivasan of Crisil said.
Starting April 1, Bharti Airtel, Vodafone India, Idea Cellular and Aircel have already abolished incoming charges while roaming.
Airtel, Idea and RCom are likely to report sharply lower earnings in January-March, stung by the second full quarter of Jio's free services, analysts said.
Reliance Jio Infocomm, which kicked off commercial services in September, was in breach of the regulator’s instruction, Bharti Airtel said.
While the `Summer Surprise' offer has been stopped, experts said there is nothing stopping Jio from launching other promotional offers in future.
Incidentally, the sackings came after RCom reported its first ever consolidated net loss of Rs 531 crore in the December quarter.
Jio is also on course to achieve break even at the ‘cash’ and PBT levels by FY21 and FY22 respectively by when the telco is slated to have over 200 mn customers.
Incumbent carriers could see sharp erosion in Ebitda levels over next four quarters with Jio’s latest moves, analysts and industry experts said.
Both sides had held preliminary discussions in February , but with Vodafone focussing more on merging its mobile phone operations with Idea Cellular, the tower talks were kept on hold, said one of the persons familiar with the development.
Bharti Airtel’s decision to buy Tikona Digital’s 4G business, they said, reaffirms the faith among the established carriers in 4G capacity spectrum.
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