New Delhi
Bharti Airtel recently increased 2G data rates and rivals are expected to take similar steps to cover costs and improve margins, said industry officials.
Airtel recently revised its 1GB 2G data plan from Rs100 to Rs125.
“This nominal price revision is subject to rate elasticity, customer demand and supporting cost structures.
Our recent revision...is an increase of only 2-3 paise per MB.
It continues to be an excellent value proposition for our customers,” an Airtel spokesperson said.
Vodafone too has made similar changes in the monthly plans and has reduced data limits available under various prepaid plans.
While the Rs95 plan (28 days validity) is now available for Rs124, others plans allowing 250 MB data usage and 150 MB usage have been reduced to 150 MB and 100MB, respectively.
When contacted, Vodafone spokesperson told PTI: “We are aware of some of our competitors increasing tariffs for 2G data recently.
“We see this as an encouraging step for the industry and are taking corrective measures accordingly at our end.”
Idea Cellular spokesperson declined to comment, but sources said the company may also revise data tariffs.
Bharti Airtel has maintained for long that prices of voice and non-voice services need to be hiked for the telecom industry to remain healthy, invest in future technologies and generate returns for shareholders.
“The current tariffs do not even cover marginal costs for most operators. So from an economics perspective, do we need to increase prices? The answer is yes,” Bharti Airtel CEO (
Industry officials say that competitive pressures have prevented telecom operators from hiking rates so far.
Inside story of the National Stock Exchange’s amazing success, leading to hubris, regulatory capture and algo scam
Fiercely independent and pro-consumer information on personal finance.
1-year online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.
Fiercely independent and pro-consumer information on personal finance.
30-day online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.
Fiercely independent and pro-consumer information on personal finance.
Complete access to Moneylife archives since inception ( till the date of your subscription )
