After Reliance Jio, Bharti Airtel on Friday announced that the company would hike its mobile tariff to 11-21 per cent in both the prepaid and postpaid services across the country. Bharti Airtel, however, claimed that the reason for the hike is to make a healthy business model for telcos in the country. The revised tariff will be effective from July 3.
This move follows a similar hike by rival Reliance Jio, which increased its rates by 12-15 percent on Thursday. However, it is expected all telecom operators will follow suit soon. “The mobile average revenue per user or ARPU needs to be upwards of Rs 300, to enable a financially healthy business model for telcos in India.
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. The new prices apply to all circles, including Bharti Hexacom Ltd circles,” Bharti Airtel said in a statement. As per the different plans for the telco, the rate of daily data add-on (1GB) will see an increase by Rs 3, rising from Rs 19 to Rs 22, in the case of 365-day validity plan offering 2GB/day, the increase works out to as high as Rs 600, as rates are set to rise from Rs 2,999, all the way to Rs 3,599.
In the unlimited voice plan category, tariff has been raised from Rs 179 to Rs 199, marking a Rs 20 increase in this 28-day validity plan that offers 2GB of data to users. Airtel’s move comes close on the heels of tariff hike announcement by its .
