While looking into the future of 5G data plans in India, we can see that a significant transformation is taking place. Bharati Airtel and Reliance Jio, the two biggest telecom operators in the country, are planning to phase out their unlimited 5G data offerings in the second half of 2024. Instead, they expect to introduce new pricing structures that will burden users with at least 5-10% higher rates than 4G tariffs.
Since the launch of 5G services in October 2022, both Reliance Jio and Bharati Airtel have been offering unlimited 5G data at the same price as their 4G plans. However, as 5G adoption grows and services are rolled out across the country, they are now turning towards revenue-generating strategies.
With a combined total of over 125 million 5G users, Bharati Airtel and Reliance Jio have been at the forefront of the 5G revolution in India. The number of 5G users in the country is expected to exceed 200 million by the end of 2024.
Industry analysts forecast that new tariffs for 5G services may include a 5-10% increase compared to current 4G plans. However, in order to attract users and capture market share, these plans may also offer 30-40% more data. The goal is to improve adoption rates while increasing revenues for telecom operators.
The report also suggests that mobile service tariffs in India may increase by at least 20% in the third quarter of 2024. This price hike is expected to help improve Return on Capital Employed (RoCE) for operators in the highly competitive telecom industry.
Despite the potential price increase, international data indicates that telecommunications tariffs in India are still the lowest in the world, currently standing at $2 per month. It has been over two years since the last tariff increase for Reliance Jio, Vi, and Airtel, which took place in November 2021 and resulted in a 19-25% price hike.
Analysts predict that Airtel will be the first to introduce tariff hikes, followed by Vodafone Idea and Jio. This move is expected to strengthen the revenues of the mobile sector in India in 2024 and beyond, with estimated growth from ₹2,46,800 crore in FY24 to ₹2,77,300 crore and ₹3,07,800 crore respectively in FY25 and FY26.
As the landscape of 5G evolves in India, users can expect changes in their data plans and pricing structures. Telecom operators are seeking ways to generate revenue and growth while adapting to the increasing demand for 5G services.
FAQ:
What are the expected changes in 5G data plans in India?
It is expected that telecom operators Bharati Airtel and Reliance Jio will phase out unlimited 5G data plans and introduce new pricing structures that will burden users with at least 5-10% higher rates than 4G tariffs.
Will the number of 5G users in India increase?
Yes, it is predicted that the number of 5G users in India will exceed 200 million by the end of 2024.
Will the price increase for mobile services also affect other providers?
The price increase for mobile services in India may also affect other providers, such as Vodafone Idea.
Will 5G data plans still be affordable for users?
The new pricing structures may include additional 5G data to attract users and gain a larger market share.
Definitions:
Return on Capital Employed (RoCE)
A measure of the profitability of capital employed, calculated as the ratio of net profit to capital employed. A high RoCE value indicates efficient capital utilization.
Tariffs
Prices of offered telecommunications services.
Adoption
The process of accepting a new technology or service by users.
Source:
Original article available at example.com
The source of the article is from the blog jomfruland.net