Udayavni Special

Sunil Mittal hints at mobile services rate hike

PTI, Aug 25, 2020, 8:52 AM IST

New Delhi: Bharti Airtel chairman Sunil Bharti Mittal on Monday, August 25 hinted at an increase in mobile services prices in the next six months, saying that data at low rates are not sustainable for the telecom industry.

He said that 16 GB data consumption a month for Rs 160 is a tragedy. “You either consume 1.6 GB of capacity per month either at this price point or you may prepare to pay a lot more. We are not wanting $50-60 like the US or Europe but certainly $2 for 16 GB a month is not sustainable,” Mittal said at an event.

Mittal also said that the average revenue per user (ARPU) is expected to cross Rs 200 in six months on digital content consumption.

ARPU is the measure of the revenue generated per user for a telco. “We need a Rs 300 ARPU in which you will still have a lower end at Rs 100 a month with a decent amount of data.

But if your consumption is largely around watching TV, movies, entertainment, and depriving other vital special services networks, then you need to pay for that,” Mittal said at the launch of a book written by Bharti Enterprises executive Akhil Gupta.

Airtel reported an increase in the ARPU to Rs 157 in the first quarter ended June 30, 2020. The rise in ARPU came after the tariff hike by Bharti Airtel in December 2019. Mittal said that while telecom operators have served the nation during the difficult times, the industry needs to invest in 5G, more optical fibres, submarine cables, etc.

“Businesses which are not in telecom, also need to adopt digital. You should see solid ARPUs building up in the next 5-6 months for the industry to be sustainable. We are down to 2-3 players now. India is a very price-conscious market. In six months’ time, we should be crossing the mark of Rs 200 for sure and Rs 250 would be ideal,” Mittal said.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

DRDO successfully test fires BrahMos supersonic cruise missile with over 400 km range

RR Nagar bypolls: Late IAS officer DK Ravi’s wife Kusuma to contest on Cong ticket?

You have no moral right to continue as CM: Priyanka Gandhi to Adityanath over Hathras gang-rape

Demolition not pre-planned, court acquits all accused in Babri Masjid case

Hathras gang-rape case: PM calls for strict action, Adityanath set ups SIT

Congress’ Mithun Rai initiates #RoadChallenge to highlight poor state of roads in DK

Mangaluru: Fire breaks out at main office of Bank of Baroda

Related Articles More

General Atlantic picks up 0.84 pc stake in Reliance Retail for Rs 3,675 cr

Mukesh Ambani’s wealth shoots up 73% to Rs 6.58 lakh crore; Adani moves up in net worth rankings

Amazon infuses Rs 1,125 cr into India unit ahead of festive sales

This entrepreneur makes paper without using wood

Play billing must for selling services through Google Play: Google


BS Yediyurappa reacted to babri final verdict

Mangalore: Street Art that speaks on a social issue

Huge Python rescued in byndoor

Want to help farmers, Remove Middlemen | APMC Act Amendment ಆಗ್ಲೇ ಬೇಕು – Shiv Murthy Kota

How to Start Dairy Farm | Cow Farming Explained | Udayavani

Latest Additions

DRDO successfully test fires BrahMos supersonic cruise missile with over 400 km range

RR Nagar bypolls: Late IAS officer DK Ravi’s wife Kusuma to contest on Cong ticket?

Twitter says monitoring service does not violate surveillance ban

India’s current account surplus rises to USD 19.8B in Q1

“Jai Shri Ram”: Advani on being acquitted from Babri demolition case

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.