Reliance Jio and Airtel Raise Prices: Prepaid and Postpaid Users Face Higher Bills

India's two biggest telecom operators, Reliance Jio and Airtel, have implemented a price hike on their mobile data plans. The new rates, effective from July 3rd, 2024, impact millions of prepaid and postpaid users across the country.

Price Hikes Across Plans, Annual Plans See Biggest Jump

The increase varies depending on the specific plan, with some experiencing jumps of over 25%. Notably, annual plans have seen the most significant price adjustments, rising by up to Rs. 600. Both Jio and Airtel continue to offer monthly, quarterly, and annual options, but users will need to factor in the higher costs when choosing their next plan.

Telcos Cite Low ARPU as Reason for Hike

The telecom companies attribute the price hike to a low Average Revenue per User (ARPU). Airtel specifically mentioned the need to raise the ARPU closer to Rs. 300, claiming it will enable a financially sustainable business model for the industry.

Airtel's Revised Data Plan Prices (as of July 3rd, 2024):

• 1GB/day (28 days): Increased to ₹299 (from ₹265)

• 1.5GB/day (28 days): Now ₹349 (previously ₹299)

• 2GB/day (28 days): Priced at ₹409 (up from ₹359)

• 1.5GB/day (84 days): Revised to ₹859 (from ₹719)

• 2GB/day (84 days): Now ₹979 (previously ₹839)

• 2.5GB/day (365 days): Increased to ₹3599 (up from ₹2999)

Reliance Jio's Updated Prices (as of July 3rd, 2024):

• 2GB/day (28 days): Now priced at ₹349 (from ₹299)

• 1.5GB/day (28 days): Increased to ₹299 (from ₹239)

• 3GB/day (28 days): Remains at ₹449

• 1.5GB/day (84 days): Revised to ₹799 (up from ₹666)

• 2GB/day (84 days): Priced at ₹859 (previously ₹719)

• 3GB/day (84 days): Now at ₹1199 (up from ₹999)

• 2.5GB/day (365 days): Increased to ₹3599 (up from ₹2999)

Here's a quick comparison of some popular plans offered by both companies:

As evident, Jio maintains a slight edge in terms of price for some plans, particularly in the lower data brackets. However, the overall trend suggests a significant cost increase for both providers.

Conclusion

The price hike implemented by Reliance Jio and Airtel has significant implications for mobile data users in India. Here's a summary of the key takeaways:

• Increased Costs: Both prepaid and postpaid users will face higher bills due to the price rise across various data plans. Annual plans have seen the steepest increase, reaching up to Rs. 600 more expensive.

• Justification for Hike: The telecom companies cite low Average Revenue per User (ARPU) as a reason for the price adjustment. Airtel specifically aims to raise ARPU closer to Rs. 300, claiming it will ensure a sustainable business model.

• Impact on Users: Millions of users will need to adjust their budgets or potentially re-evaluate their data usage habits due to the higher costs.

Looking ahead:

• It's important to compare plans offered by both Jio and Airtel to find the most cost-effective option based on individual data needs.

• Other telecom operators in India might follow suit with similar price adjustments.

• The long-term impact of this hike on user behavior and the overall health of the telecom industry remains to be seen.