Reliance Jio may be subsidising a Rs 2,500 feature phone, making it available for a refundable security deposit of Rs 1,500, but the company has certain terms and conditions for its usage.
As per the T&C policy stated on the JioPhone websites, users of the device will have to recharge it for a minimum of Rs 1,500 per annum, or Rs 4,500 over 3 years. This takes the monthly recharge requirement to Rs 125. According to analysts, major Indian feature phone users have an average revenue per user (ARPU) of Rs 100 or lower per month as against Jio’s Rs 153 recharge which is valid for 28 days. A study conducted by True Balance last year concluded that prepaid users in India live with Zero balance for at least 7.5 days in a month.
If JioPhone users fail to comply with this minimum recharge condition, they will be charged an ‘Early Return’ fee and Jio will have the right to repossess the feature phone without prior permission from the customer. Jio’s ‘Early Return’ fee structure is designed keeping in mind those who may return the JioPhone before the 3-year lock-in period.
Reliance Jio will charge Rs 1,500 plus applicable GST is the JioPhone is returned upto 12 months from the date of first issue, Rs 1,000 if it is returned between 12 to 24 months from the date of issue, and Rs 500 is returned after 24 months and up to 36 months from the date of issue. Users should note that the even after the 3-year or 36 month lock-in period ends, the refund on the JioPhone will only be given if the device is returned within three months of the completion of the lock-in period.
Further, the terms and conditions also state that Reliance Jio has the right to collect, retain and share personal information of users. However, the company will not share any info with third-parties that helps identify a user. Jio will also retain personal information for a limited time period, after which it will be deleted if the purpose of collecting that information is achieved.
The JioPhone is currently unavailable for pre-order, however as per reports, the company has promised to deliver 6 million devices that were pre-booked during the first phase before Diwali.