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Telecom companies can take this step to increase their revenue. Competition in the telecom sector has increased for some time and companies are finding it difficult to meet their expenses.
Talking on phone will have to be expensive
Highlights
- Telecom companies are preparing to make recharge expensive.
- By 2025, tariffs may increase by 10-20%.
- Companies are taking this step due to rising competition and expenses.
New Delhi. If you are always looking for cheap recharge plans, then this news can break your heart. Indian consumers may have to pay more to continue using telecom services soon. According to reports, major operators like Bharti Airtel, Reliance Jio and Vodafone Idea (VI) can soon make mobile recharge expensive.
By the end of 2025, a telecom companies can apply another tariff growth. Actually, telecom companies can take these steps to increase their revenue. Competition in the telecom sector has increased for some time and companies are finding it difficult to meet their expenses. In such a situation, if this decision is applicable, then users may have to pay more money for their existing plans. Earlier too, telecom companies had raised prices, causing additional burden on the users.
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Tariff expected to increase in 2025
According to a report by Global brokerage firm Bernstein, a report of Moneycontrol states that telecom companies in India can increase tariffs by 10-20% by December 2025. This will be a fourth big increase in the last six years. The most recent increase was in July 2024, when the tariff increased by up to 25%. The reason for increasing the tariff is the demand for increasing capital expenses of telecom companies, as they are investing 4G upgrade and 5G network. The report said that we hope that the tariff will increase in November-December 2025, which will be in line with the ongoing tariff improvement efforts in the industry.
Bernsstein hopes that in December 2025, the 15% tariff will increase and there is a possibility of increasing every year between 2026 and 2033. Although the increase in prices may be regular, but the increase between 2019 and 2025 will not be as fast as. These increase can help telecom companies to get 10% tariff CAGR. In addition, VI’s capital expenditure can help the company stabilize its user base up to another part of the 2026 financial year.