Reliance optimising JioGigaFiber’s go-to-market strategy post closure of DEN, Hathway deals
MUMBAI: Having completed the acquisition of DEN Networks and Hathway Cable & Datacom, Reliance Industries Ltd (RIL) is optimising the go-to-market strategy of its fibre to the home (FTTH) service JioGigaFiber.
“Post completion of the acquisitions of Den Networks Limited and Hathway Cable and Datacom Limited (now majority owned by RIL Group after the open offer process completed in Q4 FY2018-19), the go-to-market strategy is being optimised with successful test results from beta trials across the country,” RIL said in the release of its Q4 results.
RIL also stated that it remains committed to strengthening the business model of 27,000 LCOs that are aligned with DEN and Hathway across 750 cities, by creating multiple future opportunities with new services and platforms.
The company also said that the customer feedback to JioGigaFiber during the trials has been very encouraging. “Jio is currently optimising its service offerings across fixed broadband, entertainment and IoT based smart home solutions. Jio is focused on catalysing the underserved fixed broadband market in India with its next generation FTTX services,” it stated.
The company also stated that JioGigaFiber services for Home broadband, Entertainment, Smart Home Solutions, Wireline and Enterprise being rolled out across 1,600 cities.
Jio, the company said, has created a strong data network with infrastructure and backhaul for offering wireless services, wireline services, FTTH, Enterprise offering, IoT services and other digital services. These will lead to sustained growth in data consumption on the network.
Jio’s subscriber base increased to 306.7 million as of 31st March 2019. Net subscriber addition for the company during the past twelve months was 120 million, which is the highest in the industry by a substantial margin.
The average data consumption for Jio stood at 10.9 GB per user per month, average voice consumption at 823 minutes per user per month.
With regards to the media business, RIL said that Network18 Media & Investments reported 4QFY19 consolidated revenue of Rs 1,231 crore due to higher base on account of movie ‘Padmaavat’ last year. 4Q Ex-film revenues dipped 7% YoY led by flux around implementation of the new tariff order, and some live entertainment projects and union budget coverage in the base quarter which were absent this year.
FY19 ex-film revenue rose 7% YoY on regional growth and a reviving ad-environment. FY19 operating EBITDA was up 13% YoY despite Rs 131 Cr additional investments into regional channels, launch of FirstPost Print and Digital expansions (VOOT International & Kids, CricketNext). This was led by Regional News gestation losses compressing 42% YoY, and Business-as-usual Entertainment EBITDA margins rising to 9% (vs 5%).