Bharti Airtel's Bold Move: Aiming Higher with Tariff Restructuring
Bharti Airtel plans to increase data service tariffs by arguing that current pricing unfairly benefits wealthier customers. Despite a 43% profit rise due to a growing customer base, the company's Vice-Chairman advocates for a pricing model akin to Indonesia's. Airtel's revenue grew alongside data consumption, though fixed broadband ARPU dropped.
- Country:
- India
In a strategic shift, Bharti Airtel looks to increase data service tariffs, contending the current pricing scheme disproportionately favors the affluent, while sparing the less privileged from additional costs.
The plan comes on the heels of a successful quarter, where the telecom giant reported a 43% increase in profits, hitting Rs 5,947.9 crore, driven by an expanding customer base.
Vice-Chairman Gopal Vittal suggests a pricing overhaul to align closer to international standards, highlighting Indonesia's model as a potential benchmark, aiming to boost the average revenue per user without burdening low-income customers.
(With inputs from agencies.)
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