JioPhone Next delay: Challenges ahead for Mukesh Ambani to manage component crunch and price, say analysts

Reliance NSE -1.94 % Jio will have to put efforts into managing the supply of components of its already delayed JioPhone Next smartphone, analysts said, adding components shortage and rising cost will remain a challenge for the company from a subsidy perspective. They however added that the delay will give Jio some time to rectify the glitches identified during different levels of testing.

“If we analyse the impact of component shortage by price tier, the entry level price tier is the most impacted. The price of certain components have increased by almost 20% but it’s not just about the price the lead time to procure these components have also increased significantly like from 8 weeks earlier to almost 16 to 20 weeks in for some of the components,” Tarun Pathak, associate director at Counterpoint Research told ET.