There will be a stiff competition to Jio Data services soon. Canadian mobile device maker Datawind has plans to invest Rs 100 crore in telecom services business in the first six months of getting a licence and offer data services at Rs 200 per year.
The company, known for making low-cost tablets and smartphones, has applied for a pan-India virtual network operator (VNO) licence in the country.
The licence will enable it to offer mobile telephony and data services but only in partnership with existing telecom operators.
“We are hoping that we should get licence in a month or so. Datawind will invest Rs 100 in the first six month to launch the business with focus on data services,” Datawind president and CEO Suneet Singh Tuli said on the sidelines of launch of first Punjabi education tablet.
Datawind’s 3G-enabled VidyaTab-Punjabi was launched for Rs 3,999 in presence of Canada’s Minister of small business and tourism Bardish Chagger and High Commissioner of Canada to India Nadir Patel.
Tuli said the company plans to offer data plans that will not cost Rs 20 per month or lesser.
“Jio’s Rs 300 plan is affordable for those who have been spending Rs 1,000-1,500 per month. This would be only top 300 million people. Rest of the people spend around Rs 90 a month and for them its not that cheap.
“We will look at data plans around Rs 20 per month or lesser. One year of data service should not be more than Rs 200,” Tuli said.
Tuli said that Datawind will look at providing 3G or 4G speed for which details are being worked out.
Talking about Datawind’s tablet business, he said that company has daily production capacity of 10,000 tablets in its Hyderabad plant and 5,000 in Amritsar plant.
As per reports, Datawind led Indian tablet market with 35% share in 2016.