How UBR technology is powering Jio’s broadband growth

The use of unlicensed spectrum to provide UBR (Unlicensed Band Radio) has proven highly beneficial for Jio, India’s largest telecom operator. Supported by its Fixed Wireless Access (FWA) services, Jio’s home broadband business has been expanding rapidly, adding over a million new customers every month. UBR plays a key role in enabling these FWA services, allowing Jio to deliver broadband connectivity efficiently and cost-effectively.

According to Jefferies, “We lower our ARPU assumptions by 1% and expect Jio’s ARPU to rise at an 11% CAGR to Rs 272 over FY25–28, led by three tariff hikes of 10% each,” referring to the third quarters of FY26, FY27, and FY28. Jefferies also noted, “We expect Jio’s margins to expand to 58% by FY28, led by operating leverage, driving a 21% CAGR in its EBITDA over FY25–28.”

By the end of Q2 FY26, Jio reported 234 million 5G users, the highest for any Indian telecom provider. As 5G becomes more directly monetised, the company’s operating margins are expected to improve further. Currently, 5G is offered as an add-on with data plans of 2GB per day or higher. For the quarter ending September 2025, Jio’s net profit rose from Rs 6,539 crore to Rs 7,379 crore, while operating revenue increased by 14.6% year on year.

What is Unlicensed Band Radio (UBR)?

Unlicensed Band Radio (UBR) is a technology that enables telecom operators to provide wireless connectivity using unlicensed spectrum, radio frequencies that do not require government licensing fees. This makes it a highly cost-effective solution for delivering internet services, particularly in areas where deploying traditional wired broadband is expensive or impractical.

For Jio, UBR has been a significant advantage, as it underpins the company’s Fixed Wireless Access (FWA) network, allowing broadband delivery via wireless links instead of physical cables. By leveraging UBR, Jio has been able to expand its broadband footprint at remarkable speed, adding over a million new home broadband users each month. This has strengthened its broadband business and contributed to sustained revenue growth. According to Jefferies, Jio’s Average Revenue Per User (ARPU) is expected to grow at an 11% CAGR to Rs 272 between FY25 and FY28, supported by UBR-driven expansion and planned tariff increases.

What UBR means for telecom operators

For telecom operators, UBR offers several strategic benefits. It allows for faster and more affordable broadband deployment, particularly for last-mile connectivity, without complete dependence on costly licensed spectrum or extensive fibre infrastructure. By adopting UBR, telcos such as Reliance Jio can efficiently scale their FWA networks, reaching millions of households while reducing both capital and operational expenditure.

However, the use of unlicensed spectrum does present challenges. Because these frequency bands are open to multiple users, the risk of interference is higher, making network performance and service quality more difficult to manage. Despite this, UBR is emerging as a key enabler of rapid, economical broadband growth in India. Regulatory backing from the Telecom Regulatory Authority of India (TRAI) and the government, such as proposals to delicence portions of the lower 6 GHz band, has further strengthened its potential.

Jio’s successful integration of UBR in its FWA services demonstrates the technology’s scalability and impact. With continued adoption and regulatory progress, UBR is expected to become mainstream in India within the next two to four years (around 2026–2028), as telecom operators expand deployments and the technology continues to mature.