>> An Indian mobile phone with an unbeatable price. It's called the JioPhone, debuting this September at the low, low cost of effectively nothing. It's the vision of India's richest man, Mukesh Ambami. He's the head of corporate giant Reliance, and he's aiming to blow open the country's enormous untapped market of low income mobile users.
Reuter's Sankap Partial explains how it works.>> More of half of India's roughly 750 million mobile phone users still use low cost phones that only allow calling and basic texting. These phones cost anywhere between $12 to $46. The Internet enabled JioPhone is virtually free. It can be bought for a refundable deposit of just $23 which could potentially make it a choice for millions of low-income users.
>> The JioPhone makes money off of digital payments and services, and will give hundreds of millions of people the opportunity to get online for the very first time. Insiders say, in the long run, companies targeting India's low-end mobile users will benefit from a much wider potential market which the JioPhone could be on a path to cornering.
>> India's feature phone market is led by South Korea's Samsung, which commands over a fifth of the market share. But Samsung and homegrown firms such as Lava, Micromax, and Intex, do not sell basic 4G phones at the cost at which Reliance is pricing the JioPhone. Analysts believe the cheap JioPhone, with its bundled data plans, will give rivals a run for their money.
>> The JioPhone isn't just a savvy business move, it's also a political boost for two of Prime Minister Narendra Modi's key goals. Getting more Indians connected to the web, and boosting home-grown manufacturing. Reliance aims to have the phone built entirely in India by the end of the year.
A senior executive telling voters they aim to have five million phones available each week. But even that may not be enough to keep up with demand.