Mobile Recharge Rates Set to Rise by Up to 12% in India by Year-End

Mobile recharge plan prices in India are set to increase once again. Major private telecom companies like Airtel, Reliance Jio are set to increase their recharge plan prices by 10 to 12 percent by the end of this year, according to multiple reports. As soon as this news came to light, concern has arisen among the country's billions of mobile users.

The tariff hike is planned to increase revenue per user (ARPU). According to the companies, a huge amount of money has been invested in the expansion of 5G networks. This additional pressure is going to come on premium services and high data users to cover that cost.

In May this year, the telecom world set a new record. Jio added about 5.5 million new customers in that month and Airtel 1.3 million. The total number of active mobile subscribers now stands at over 1.08 billion. It is understood that in this competitive market, the main goal of telecom companies has become to generate more revenue, especially from premium customers.

It doesn't end here. In July last year, several telecom companies including Jio and Airtel had drastically increased the prices of their tariff plans. Especially for those who use a lot of internet or take long-term calling plans, the recharge costs increased by 11% to 23%. The same scenario is set to unfold again, with these companies almost certainly increasing the cost of their services. 

According to a report by specialist firm BofA Securities, the price of recharge plans will be increased by 10-12 percent by the end of 2025. This means that a customer who currently recharges for ₹200 a month may have to pay ₹220 to ₹225.

In this situation, the biggest challenge for consumers now is choosing the right plan. Many are comparing different plans to get better service at a lower cost. Some are leaning towards long-term plans to ensure service for a few months at the current price, while others are looking for a temporary solution by making small recharges as needed.

However, it is certain that this continuous price increase by telecom companies will continue in the future. Because on the one hand, as the number of subscribers is increasing, on the other hand, the infrastructure and technology costs of the companies are also very high. 

As a result, the burden of that cost is being passed on to ordinary mobile users. It is clear that 5G, OTT bundled services, cloud storage, better call quality—these benefits come at a huge cost. if this is reflected only in the price increase of general recharge plans, then this will be a very difficult situation for lower and middle class customers.

It is certain that mobile recharge costs will never be the same again. Now is the time to understand your usage and choose a plan that suits you and is cost-effective.