Jio and Airtel Say Goodbye to Unlimited 5G Data
Jio and Airtel Say Goodbye to Unlimited 5G Data
Reliance Jio Infocomm and Bharti Airtel, major players in India’s telecommunications sector, are contemplating a shift in their 5G strategy, as per local media reports. The proposed change could lead to a 5-10% increase in prices for consumers.
Both companies embarked on their 5G journey back in October 2022, offering unlimited 5G data without additional charges as part of their existing cellular plans. This move aimed to encourage widespread adoption of 5G technology among their customer base.
However, recent reports suggest that Jio and Airtel are now exploring the possibility of introducing separate 5G plans, potentially entailing a modest price hike compared to traditional 4G offerings.
Scheduled for unveiling in the latter half of 2024, these new plans intend to boost average revenue per user (ARPU) for the telcos, consequently aiding in the recuperation of their substantial investments in 5G infrastructure.
Additionally, the revamped 5G packages are anticipated to offer users approximately 30% more data than their current 4G counterparts, which typically provide between 1.5GB to 3GB of data per day.
With a combined subscriber base exceeding 125 million, Jio and Airtel are poised to capitalize on the burgeoning 5G market in India, projected to surpass 200 million users by year-end 2024.
Reliance Jio Infocomm has already completed the nationwide rollout of 5G technology, employing Standalone (SA) architecture since October 2022. Meanwhile, Bharti Airtel remains on track to achieve comprehensive 5G coverage across the country by March 2024.
India conducted its inaugural 5G spectrum auction in July 2022, with Reliance Jio emerging as the frontrunner, having invested $11 billion in spectrum acquisition. Airtel secured spectrum valued at $5.4 billion, while Vodafone and Adani acquired spectrum worth $2.4 billion and approximately $27 million, respectively.
The upcoming 5G spectrum auction, scheduled to commence on May 20, will offer airwaves across various bands, including 800 MHz, 900 MHz, 1800 MHz, 2.1 GHz, 2.3 GHz, 2.5 GHz, 3.3 GHz, and 26 GHz. Interested operators have until April 22 to submit their applications, with a mock auction slated for May 13-14.
Sources familiar with the matter anticipate limited participation in the auction, primarily from Bharti Airtel and Vodafone Idea (Vi), as they seek to renew their existing spectrum holdings.