Jio and Airtel ring in active vs inactive subscriber battle
Published On: Tuesday, October 13, 2020 | By: Team KnowMyStock
Reliance Jio’s falling share of active customers or Visitor Location Register (VLR), against Bharti Airtel's growing numbers, is now a highly discussed point in telecom circles. VLR denotes subscribers who are active on the network, can send or receive calls, don’t have their mobile switched off, and are not outside the coverage area. For some investors and analysts, Reliance Jio’s lower figure is definitely concerning, according to sources. According to the Telecom Regulatory Authority of India (Trai) data for June released last month, Reliance Jio and Airtel had more or less the same number of VLRs (311 million). But a huge difference was spotted between the two rivals in their respective percentage share of active customers to their total subscriber base. This includes active and inactive customers and is also known as the Home Location Register (HLR). The percentage is known as the VLR ratio.
Jio had over 87 million users who were inactive customers in June, according to Trai. That means only 78.15 per cent of its total subscriber base was active, creating concern that Jio is battling a falling share of active customers while managing to shore up its overall customer base (or HLR) to grab market share. Despite the fact that a substantial portion are not paying any revenue at all.
In contrast, Airtel’s inactive customers stood at only 6 million, implying that 98.14 per cent of its total customers were active.The July figures released by Trai on Monday captured a similar trend on the declining VLR ratio.
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