Airtel answers Jio with Karbonn 4G phone
BHARTI Airtel has tiedup with Karbonn Mobiles to bring bundled 4G smartphone at an "effective price" of Rs 1,399, a move aimed at taking on rival Reliance Jio ahead of the festive season.
This is the first of multiple partnerships India’s largest telecom firm is lining up with mobile handsetmakers to bring such bundled 4G smartphone options to the market, Airtel said on Wednesday. Shares of Bharti Airtel jumped 5.04 per cent to Rs 403.40 on the BSE after the announcement. During the day, the stock soared 5.97 per cent to Rs 407.
While Mukesh Ambaniled Reliance Jio announced in July an Internet-enabled feature phone for a refundable deposit of Rs 1,500, Airtel said its partnership brings an "affordable" 4G smartphone to the market "effectively at the price of a feature phone".
"The customer needs to make a down-payment of Rs 2,899 for the 4G smartphone and make 36 continuous monthly recharges of Rs 169. The customer will get a cash refund of Rs 500 after 18 months and another Rs 1,000 after 36 months, taking the total cash benefit to Rs 1,500," the Airtel statement said explaining its claim of Rs 1,399 effective pricing. The Android-based 4G smartphone, Karbonn A40 Indian, has dual SIM slots and access to popular apps like YouTube, WhatsApp and Facebook. The offer comes bundled with monthly recharge pack, cashback and data and calling benefits, it said. Consumers can go in for recharge of any denomination and validity as per individual requirements in case they do not want to go for Rs 169 bundled plan under offer. But the cash refund is contingent on recharges worth Rs 3,000 within first 18 months.