Airtel-Tata Play merger aims to challenge Jio's dominance

Will boost premium customer base and reduce churn

- URVI MALVANIA

BHARTI AIRTEL'S PLAN to merge with Tata Group's Tata Play is a strategic move to capture more premium customers, leverage existing fibre infrastructure, and strengthen its position against Reliance Jio, analysts say.

If the merger goes through, it will create the undisputed leader in the paid DTH sector, strengthening Airtel's position in the increasingly competitive telecom and entertainment landscape.

"This is clearly a play to enter more premium households and maximize customer spending across multiple services," said an analyst from a leading Mumbai-based brokerage.

Late last month, Bharti Airtel informed stock exchanges that it was in bilateral talks with Tata Group regarding the merger of Tata Play with its DTH business.