Pricing recovery of the telecom sector is not likely to happen in FY20 even as Reliance Jio will further strengthen its dominance by seizing market share, both in terms of subscribers and revenue, from incumbents Vodafone Idea and Bharti Airtel. India Ratings and Research (Ind-Ra) has maintained the negative outlook on the telecom sector for FY20. Jio will increase its revenue market share (RMS) to 37.9% while that of Vodafone Idea will come down to 28.9% and Airtel\u2019s share will shrink to 27.8%. As of FY19, Vodafone Idea and Airtel are expected to have a revenue market share of 31% whereas Jio\u2019s share is likely to be 32%. Not only revenue share, Jio has been consistently improving its subscriber market share as well. The latest entrant is expected to add 10 million customers per month in H2 of FY19 and 7 million per month in FY20. \u201cLarge portion of incremental subscribers could come from Vodafone Idea and Bharti Airtel,\u201d India Ratings said. Ind-Ra expects Reliance Jio\u2019s dominance to increase as it would continue to seize market share in terms of both subscribers and revenue from Bharti Airtel and Vodafone Idea in FY20 and could eventually emerge as the largest telecom player in the industry. READ ALSO |\u00a0Yes Bank names Deutsche Bank\u2019s Ravneet Gill as new MD, CEO; posts fall in Q3 net profit The overall subscriber growth will, however, remain muted in FY20, or it could even witness a decline, as India is a dual-sim market, which could consolidate with ARPUs (average revenue per user) trudging upwards. The ARPU is likely to improve over H2FY19-FY20 as the minimum recharge plans launched by Airtel and Voda-Idea will weed out low ARPU customers. \u201cThe focus of operators will eventually shift to ARPU from subscriber market share,\u201d Ind-Ra opined. The share of 4G subscribers that offers higher ARPU will be a critical profitability indicator and RMS will evolve accordingly. Revenue growth would be uneven across telcos and RJio is positioned to outperform peers with its superior offerings. The ratings agency feels that given the continued capex commitments, refinancing requirements would remain high for all the players and free cash flows would remain negative in FY20. The aggregate net debt of Airtel, Vodafone Idea and Jio at end-FY19 is estimated to be around `3 lakh crore, implying net leverage of over 6x for the sector. \u201cTelcos will continue to require equity infusion and asset monetisation to deleverage,\u201d Ind-Ra said.