Mukesh Ambani to telcos: You can't hold off Reliance Jio for long

Reliance chairman Mukesh Ambani  has said that the "old telecom" industry was abusing its dominant position to hurt Jio's margins. He added customers had "suffered over five crore call failures to other networks because of insufficient interconnect capacity" in one week alone.


"I think that the old telecom industry is used to using incumbent power, but I think these tactics don't work anymore. A Jio user will figure out that nothing is wrong with the service...the customer will soon start questioning if the incumbents are anti-consumer," he told TOI.


India's top incumbent carriers have told the Prime Minister's Office (PMO) they are in no way obliged or in any position to entertain Jio's requests for interconnection points as they do not have either the network or the financial resources to terminate the latter's humongous volumes of potentially asymmetric voice traffic.


Reacting to this tussle, Ambani said "All operators have publicly said last week that they will provide this (interconnect and MNP). So, we are waiting. These are all great companies. They have their own reputations to protect. I am confident they won't violate the law.”


"It's like saying that because you are a dominant person, you violate traffic lights. You can be let off once or twice, maybe...Our view is that interconnect is an issue of a few weeks. You cannot break the law beyond that. It is there in the licence that you are supposed to provide inter connect, irrespective of traffic," Ambani said, adding that he expected the problem to be solved in a few weeks. "In the long run, you cannot take violation of legal licence obligations lightly," he added.



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