Vodafone Idea follows Bharti's suit, hikes prepaid tariffs
Cash-strapped Vodafone Idea has hiked its prepaid tariff plans effective November 25, 2021
By ET Online | Updated:
Vodafone Idea on Tuesday hiked its prepaid tariff plans effective November 25, 2021. This hike comes after Bharti Airtel deployed a similar hike on its prepaid plans on Monday.
The basic plan which costs Rs 79 and has a validity of 28 days, will cost Rs 99 from November 25. 'The new plans will start the process of ARPU improvement and help address the financial stress faced by the industry,' the company said in its press release.
Motilal Oswal in its report on Monday had said that 'In line with its previous tariff hike in December 2019, we expect the other two large telcos – Reliance Jio and Vodafone Idea–to raise tariffs in the immediate future. Both telcos have been advocating the need for a tariff hike to improve the cash flow situation in the industry. Bharti’s tariff, effective 26 November 2021, offers time to other telcos to implement a similar price hike. A similar price hike will increase Vodafone Idea/Reliance Jio’s EBITDA by 100%/23%.'
