Airtel Recharges to Cost 21% More After Jio: Cheapest Plan ₹179 Now Available at ₹199, Shares Reach Record High ₹1536
After Reliance Jio, India’s second-largest telecom operator Bharti Airtel has announced a 10%-21% increase in mobile tariffs. Starting July 3, 2024, the company will implement the revised rates.
The cheapest plan, which was previously ₹179, will now cost ₹199, offering 28 days of validity, unlimited calling, and 2GB data. Similarly, the ₹265 plan will be increased to ₹299, providing unlimited calling and 2GB data per day for 28 days.
Importance of ARPU Above ₹300 for Strong Business Models
Airtel has stated that it believes in strengthening the business models financially for telecom companies in India, considering that average revenue per user (ARPU) should be above ₹300. They are increasing rates in entry-level plans to ₹70 per day.
Airtel Shares Reach Record High
Today, Airtel’s shares have reached a record high due to increases in their recharge plans. Amid trading, the shares had touched a high of ₹1,536, but currently, they are trading at ₹1,467, down 0.46%. This year, the stock has risen by 44%.
Reliance Jio Increases Prices Just One Day Ago
Just one day ago, Reliance Jio announced a price hike of 15% to 25% on their prepaid and postpaid plans. The new tariff plans will come into effect from July 3. Currently, a plan priced at ₹239 will be available for ₹299. The cheapest plan was ₹155, which will now be priced at ₹189.
Increase in Data Add-On Price from ₹15 to ₹19
As part of revising their monthly and long-term recharge plans, the company has also increased the prices of data add-on plans. This means that after exhausting the data limit within a plan, users will now have to pay ₹19 for 1GB of additional data, up from the previous ₹15.
Tariff Increase of 20% in December 2021
In December 2021, all telecom companies raised their tariffs by more than 20%. Previously, Jio had revised its tariffs for the first time since its launch in 2016, making adjustments in 2019 with increases ranging from 20% to 40%.
