Reliance Jio Infocomm (Jio) has slashed international long distance call or ISD rates by more than 90% for some countries. The company has come out with an ISD Rate Cutter, under which it has slashed rates for USA and Canada by 75%, Germany by 93%, Britain by 90% and France by 86%.
Jio is offering calls at `3 per minute to the USA, Britain, Canada, Singapore and New Zealand. Besides calls to France and Japan are prices at `4.8 a minute. Also calls to South Africa, Russia and Germany are at `7.2 a minute.
Under its existing ISD tariff’s, calls made to the USA and Canada are charged in the range of `5 to `12 per minute, while in the case of Germany they are in the range of `5 to `100 a minute. For calls made to United Kingdom, the company has rates in the range of Rs 5-30 a minute.
Market analysts indicate that such offers are a part of Jio’s strategy to attract the high Arpu (Average revenue per user) customers of its rivals, besides, retaining its own high-end users. The company has time and again said that it will keep on offering services keeping in mind its premium users.
Sources said that Jio subscribers will also be able to avail a discount of 15% on their domestic and international travels via Air Asia, which is also part of the company’s strategy to come out with offers related to travel and hospitality for its high end subscribers.
However, slashing international long distance call rates by Jio would not have a major impact on the revenue of its rivals. ISD accounts for around 6% of their total revenues. That apart, subscribers are increasingly using Whatsapp, Skype, We Chat, etc to make international calls.