Reliance Jio, on July 3, unveiled its Jio Bharat feature phones priced at INR 999, targeting the large base of feature phone users in India. The telecom company plans to roll out the internet-enabled feature phone to the first 1 million users as part of a beta trial starting on July 7. The trial will cover 6,500 tehsils and aims to tap into the 250 million feature phone users in the country who are seeking to upgrade to 4G services.
The Jio Bharat feature phone will leverage the Jio Bharat platform, utilizing device and network capabilities to provide internet-enabled services on feature phones. Reliance Jio announced that homegrown original equipment manufacturer (OEM) Karbonn will also adopt the platform to build Jio Bharat phones. However, the specifics of the partnership between the two companies have not been disclosed. Reliance Jio plans to collaborate with additional players to further enhance its in-house platform.
In addition to the feature phone launch, Jio introduced a range of recharge packages for its platform users, including a monthly tariff plan of INR 123 and an annual recharge of INR 1,234. The company claims that its plans offer 30% cheaper rates and seven times more data compared to other telecom operators.
Reliance Jio’s move to target feature phone users aligns with its strategy to tap into a significant section of the Indian population still reliant on basic phones. By offering an affordable sub-INR 1,000 device, the conglomerate aims to bring internet-enabled products to the masses without requiring extensive user education on smartphones.
Since its inception, Reliance Jio has focused on scaling its feature phone ecosystem. It acquired a 16% stake in KaiOS, a smart feature phone operating system, in 2018. This integration enabled Jio to provide cost-effective devices and bring users into its ecosystem, driving internet adoption and supporting its platform play. Bundling Jio Bharat phones with Jio SIM cards could further solidify customer retention and serve as an entry point for millions of Indians to join the growing digital economy.
With JioPay, JioCinema, and Jio Saavn included in the platform, Reliance Jio aims to consolidate its digital offerings. Despite the rising adoption of smartphones, the feature phone market still generated significant revenue of $2.23 billion in 2023, indicating the potential for growth as Jio seeks to capture a larger share of the existing 250 million feature phone user segment in the country.
