Vodafone Idea lost 4.8 million users in June, shedding customers for the eighth month in a row.
Reliance Jio was the only gainer in June, signed growth of 4.5 million new consumers, revealed data issued by the Telecom Regulatory Authority of India. State-run telecom BSNL lost 1.7 million users in June.
India’sIndia’s overall mobile subscriber base 2G, 3G and 4G which stood at 1.14 billion at the end of June, 3.2 million from the previous month.
In May, Vodafone Idea and Airtel lost 4.7 million subscribers each, with a stringent nationwide lockdown.
Billionaire Ambani’sAmbani’s Jio now has 34.8% wireless market quantum, while Airtel and Vodafone Idea have 27.8% and 26.8% respectively.
The shifting of work-from-home from offices is one of the significant factors for the loss of subscribers. The demand and traffic have increased in-home circles have revealed the low quality of the network.
This could be one-factor customers dropped out of their existing networks,” stated the head of equity research at SBICAP Securities.
The loss is highest for Vodafone Idea, which didn’t invested much in improving services. The company acquires a limited scope to increase its capex because of stressed financials.
While the number of mobile subscribers declined in June, the fixed subscriber base rose by marginal 40,000 to 19.8 million, amid Centre’sCentre’s focus to improve broadband connectivity. Jio, Airtel and Vodafone users in June respectively. BSNL lost 179,514 customers in June.
On Tuesday, Jio launched postpaid plans for premium customers who are paying high, which threatens Airtel and Vodafone’sVodafone’s limited but profitable market of such users.
Jio’s target perhaps is upgrading its own 280 million smartphone subscribers to postpaid and higher Arpu plans. This could assist the overall market to be positive for the industry,” JP Morgan stated in a report.
Managements of both Airtel and Vodafone Idea hinted another round of tariff hike, aiming to lift Arpu first to Rs200, and eventually to Rs300.