We lack capability to provide RelJio interconnections, claim operators | business-news | Hindustan Times
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We lack capability to provide RelJio interconnections, claim operators

business Updated: Sep 08, 2016 10:42 IST
Nachiket Kelkar
Nachiket Kelkar
Hindustan Times
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Top telecom operators have said they lack network capability and financial resources to provide interconnection to Reliance Jio (RelJio) subscribers. (HT Archive)

Top telecom operators on Wednesday said they lack network capability and financial resources to provide interconnection to Reliance Jio (RelJio) subscribers.

RIL chairman Mukesh Ambani had recently said that the Indian telecom sector had grouped up against his company.

The Cellular Operators Association of India (COAI), which represents GSM telecom operators, wrote to the Prime Minister’s Office raising the matter a day after Ambani announced Jio’s plans on September 1.

“According to incumbents, offering more interconnection points to Reliance Jio will not only create a financial burden but also swamp their network and outgoing calls of their customers could get blocked by the huge number of incoming calls from RelJio,” Rajan Mathews, director- general of COAI, told HT.

COAI in its letter said that voice realisation from the potential 100 million RelJio customers could lead to voice realisation of existing operators plunging from 30-40 paise per voice minute to around 22-25 paise or lower.

Interconnect points are used to connect calls from one telecom operator to the other. If enough points, RelJio users won’t be able to make calls to other networks.