Major setback to Internet Companies, Delhi government will offer this thing for free of cost

Aug 09 2019 01:45 PM
Major setback to Internet Companies, Delhi government will offer this thing for free of cost

Delhi chief minister Arvind Kejriwal announced that government will appoint wireless internet service providers to install 11,000 free Wi-Fi hotspots, offering 15GB data per month to every citizen.

Announcing a scheme, Delhi Chief Minister Arvind Kejriwal on Thursday said that the people of Delhi will now be given 15 GB of internet data free of cost every month. Hot spots will be set up at 11,000 locations in Delhi. He said this is the first phase of the plan. In the next phase, it will be expanded with a plan to provide free internet cover to the whole of Delhi.

The situation of All mobile companies has worsened due to Reliance Jio's cheap data plan. According to one figure, the Vodafone-Idea company suffered a loss of about Rs 4,874 crore in the first quarter of the financial year 2019-20. Airtel has also suffered a loss of about Rs 2,866 crore at the same time. Reliance Jio itself has suffered huge losses during the same period. But now the Delhi government has decided to offer free internet service in the market. Internet market analysts predict that the government's decision could reduce the income of mobile companies. However, this will benefit ordinary customers. 

In his statement, Internet market analyst Sachin Bharatwal says that if the government really works on its plan, it will benefit the common man. But this may lead to a decline in the income of Internet companies as Delhi is a big customer of the internet market. If the government ensures 15 GB of data to each person, it will drastically reduce people's inter-plan recharges and will cause huge losses to mobile companies.

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