Vodafone Idea (Vi) has announced a hike in its 5G prepaid tariffs, a major step towards strengthening the company’s 5G rollout strategy and financial position. Vi’s existing 5G base plans, which currently start at Rs 299, may soon get more expensive. The move is seen as a response to the recent tariff hikes by Jio and Airtel, who have already increased the prices of their 5G plans.
Tariff hike strategy
Vi last changed its tariff in 2022. Since then, the ARPU (average revenue per user) of telecom operators in India has remained the lowest in the world. Vi’s CEO recently said that the tariff hike will increase investment in the telecom sector and improve return on capital. The company believes that charging a premium for 5G services is necessary to raise the funds required to expand the 5G network and meet the growing data demand.
Impact on users
The tariff hike will affect users who were expecting affordable 5G plans. Like Jio and Airtel, Vi is also trying to keep its 5G plans in the premium segment. Due to this, users may have to pay more for faster 5G speeds.
These benefits are available in Vi’s Rs 299 plan
Vodafone Idea’s cheapest 5G plan costs Rs 299. With this plan, which comes with a validity of 28 days, the company gives VI users 1 GB of high-speed data every day, local and STD calling to talk on any network, and 100 SMS every day. After the data limit is exhausted, the speed will be reduced to 64kbps.
