According to analysts cited by Economic Times, two leading Indian telecom companies, Reliance Jio and Bharti Airtel, are planning to gradually withdraw their unlimited 5G data packages for customers from the second half of 2024. This move aims to increase revenue generation and growth for both firms.
Reliance Jio and Airtel have been offering 5G connectivity and unlimited data packages alongside their existing 4G plans for almost a year. The objective was to encourage existing subscribers to upgrade to high-speed internet services. However, as the number of 5G users in India is predicted to exceed 200 million by the end of 2024, these companies are now focusing on monetizing their 5G offering.
Industry experts predict that both telecom companies will increase mobile service rates by at least 20% in the fourth quarter of 2024, in order to improve return on capital invested. This decision comes along with continued investments in 5G infrastructure and customer acquisition.
Although the 5G packages offered by Airtel and Jio may be slightly more expensive than their current 4G plans, network providers are compensating for this by adding 30-40% more data. This strategy aims to increase data usage and market share.
It is worth noting that Vodafone Idea, another major telecom company in India, has not yet introduced its 5G services in the country.
In summary, Reliance Jio and Airtel’s decision to withdraw unlimited 5G data packages reflects their aim to increase revenue and growth. As the demand for 5G services in India grows, these companies are adjusting their pricing strategies to ensure long-term profitability.
FAQ
Which telecom companies plan to withdraw unlimited data packages?
Reliance Jio and Bharti Airtel, two leading Indian telecom companies, plan to gradually withdraw unlimited 5G data packages.
What motivates these companies to take such action?
The aim of this action is to increase revenue generation and growth for both firms.
Will the prices of 5G services be raised?
Industry experts predict that both telecom companies will increase mobile service rates by at least 20% in the fourth quarter of 2024.
Definitions
5G – the fifth generation of wireless telecommunications technologies, providing higher data throughput, lower latency, and more reliable connections.
Data Packages – units of data that are transmitted through a telecommunications network.
Infrastructure – the collection of devices, cables, and other technical elements used to ensure the operation of a telecommunications network.
Sources: [Economic Times](https://economictimes.indiatimes.com/)
The source of the article is from the blog regiozottegem.be