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Jio, Airtel and Vi increase mobile tariffs from this week

1 Jul 2024

Jio and Airtel announced tariff hikes effective from July 3rd, while Vi will raise them from July 4th to improve their Average Revenue Per User (ARPU).

After two and a half years, Jio announced a 12-25% increase in all prepaid and postpaid mobile tariff plans from July 3rd. There will be no change in data allowance, calling minutes, or complementary OTT subscription.

Airtel will raise its tariff by 11-21% and Vi by 11-24% on all prepaid and postpaid plans.  Prepaid users can recharge before July 3rd to save money, although postpaid users will see hikes in their subsequent billing cycles.

The move comes after much lobbying and efforts by telecom players to raise tariffs to stay afloat. Jio and Airtel need to improve their returns after they paid hefty amounts for 5G bandwidth in 2022, while Vi needs to fuel its ₹23,000 crore equity fundraising efforts and boost a bleeding balance sheet. Airtel and Jio are making profits, while Vi is not.

The tariff hikes are expected to improve the ARPU by 13-17% for these telecoms.

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