(CTN News) – Today, Bharti Airtel declared that it would be raising the costs of both its postpaid and prepaid phone plans by 10–21%. Just one day had passed since Reliance Jio, its bigger rival, revealed that it would be hiking its tariffs.
This is an important step because it is the first big tariff rise the telecom sector has made in the previous 2.5 years. Airtel is going to raise rates on July 3.
All Airtel plans will see price increases ranging from 10 to 21 percent.
The 1GB daily data add-on will cost ₹19, so that the total cost would go up by ₹ 3 to ₹ 22. However, in the case of a 365-day validity plan with 2GB of data each day, the increase may be as much as ₹ 600. This is because it is anticipated that the costs will rise from ₹ 2,999 to ₹ 3,599.
The cost of the unlimited voice plan category has increased by ₹ 20, from ₹ 179 to ₹ 199. Customers may get 2GB of data with this package, which has a 28-day validity period.
Airtel has reduced entry-level plan prices by less than 70 paise per day in an effort to ease the financial strain on customers who are facing financial challenges.
Bharti Airtel has always insisted that for Indian telecommunications firms to have a financially viable business model, the average revenue per user (ARPU) on mobile devices needs to be more than ₹ 300.
According to the organization’s news release, “We believe that this level of ARPU will enable the substantial investments required in network technology and spectrum and offer a modest return on capital.”
Jio’s price hike announcement is closely followed by Airtel’s.
Market watchers anticipate that Vodafone Idea would raise rates shortly after. The biggest telecom provider in India, Jio, revealed on Thursday that there will be a 12–27% hike in cellphone prices.
But based on a review of the price and rate increases that the two telecom providers announced, respectively, it looks like most of Airtel’s mobile plans will continue to cost more than Reliance Jio’s.
Airtel has continuously argued that the industry needs to raise tariffs. In addition, the group has repeatedly emphasized how “absurdly low” tariffs are now in place in India when compared to other parts of the world.
The price of Airtel’s unlimited call plans has gone up by roughly 11%. As a result, the tariffs have increased, going from ₹ 179 to ₹ 199, ₹ 455 to ₹ 509, and ₹ 1,799 to ₹ 1,999, in that order.
The cost of the daily data plan has increased to ₹ 579, a 20.8% increase from its prior price of ₹ 479. The plan had a validity term of 56 days and a data transfer rate of 1.5 GB per day. The plan with a 28-day validity period and 1 GB of data per day was changed from ₹ 265 to ₹ 299, while the 1.5 GB per day offering was raised from ₹ 299 to ₹ 349.
Subject to the available alternatives, members will be required to pay an extra ₹ 140 (in absolute terms) for the 84-day extended validity plans. There has been an increase in the 1.5GB/day offering from ₹ 719 to ₹ 859 and in the 2GB/day offering from ₹ 839 to ₹ 979. These two raises will take effect right now.
The price of data add-ons has also gone up. One gigabyte and a day’s validity used to cost ₹19, but now they cost ₹ 22. Similarly, 2GB will now set you back ₹ 33 instead of ₹ 29. With a validity period of 65 days, the 4GB add-on is now priced at ₹ 77, up from ₹ 65.
Depending on the number of connections and benefits provided, a 10–20% rise in post-paid fees could raise the total amount by ₹ 50–200. According to Airtel, all circles—including those that are controlled by Bharti Hexacom Ltd.—will be subject to the new tariff.
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