After prepaid tariff hike, broadband plans might see a hike in India?

Telecom operators have announced an increase in their prepaid tariff hikes in India and looks like broadband plans prices might also go up soon. As per a report by PTI, Tapabrata Mukherjee, co-founder, Meghbala Broadband, said just like telecom internet services, the average revenue per user (ARPU) needs to go up for broadband as well. According to him, broadband plans might see a spike of up to 20 percent because then only the current services will become viable.

For the unversed, almost all internet service providers offer a free subscription to multiple over-the-top or OTT platforms. Mukherjee suggests that this might be the reason behind the expected price hike of the internet plans. However, chances are that major ISPs like Airtel, Jio and  Bharat Sanchar Nigam Limited (BSNL) might be the first to announce this hike first as small ISPs are unlikely to lead with a tariff hike.

Do note that none of the ISPs have hinted at this price hike or that the high-end OTT plans create cost pressure. It is the first time that Mukherjee has brought up these topics. None of the ISPs have confirmed this hike yet.

As per a report by Telecom Talk, tariff hikes in broadband plans might mean that customers have to pay up to Rs 150-Rs 200 more for low-end plans that offer 100 Mbps and 200 Mbps speeds. Low-end plans are something that many users buy in this country and a 20 percent hike will result in a major spike, risking a lot of internet users in India.

For the unversed, Airtel, Vi (Vodafone Idea) (up to 25 percent) and Reliance Jio (up to 21 percent) have announced an increase in their prepaid tariff hikes which have been implemented in India recently. Reliance Jio tariff hike was implemented in the country on December 1 this year. Airtel’s price hike in prepaid plans came into effect on November 26.  New Vi prices came into effect from November 25.

The post After prepaid tariff hike, broadband plans might see a hike in India? appeared first on BGR India.

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