If you use a mid or high-range mobile recharge plan, this news is important for you. Big telecom companies like Jio and Airtel are planning to raise their tariffs by 10–12% by the end of this year.
In May, there was a huge increase in the number of mobile users, which has made companies confident that customers can now accept higher-priced plans.
However, this time the hike will affect those users more who are already spending more on their plans.
Record number of active users in May
This move to increase tariffs isn’t random. In May 2025, about 7.4 million new active mobile users were added in India, taking the total to 1.08 billion.
Reliance Jio added 5.5 million users, and Airtel added 1.3 million, boosting their market share significantly.
Focus on mid and high-end users
While the telecom industry is heading towards a 10–12% increase, this time the hike won’t be limited to basic plans.
When prices were last raised in July 2024, basic plans saw an increase of 11–23%.
Now, companies plan to focus on mid and high-range users to grow revenue without losing too many customers.
What will change in the new plans?
Telecom companies might now move away from the ‘one-size-fits-all’ strategy. Experts believe that new plans could be launched based on data speed, time of usage, or total data used.
For example, people who use less data or mostly use it at night may get cheaper plans. This way, users can choose a plan that suits their needs better.
5G and rising prices
According to experts quoted by ET, the growth in customer numbers will now depend on how fast and how well 5G services are rolled out.
If Vodafone Idea struggles further, it will give Airtel and Jio more chances to increase their market share and income.
BNP Paribas predicts that telecom sector earnings will rise in double digits from 2025 to 2027. This will be due to higher tariffs and the growing popularity of bundled plans.
Airtel MD Gopal Vittal also said that there is now a need for ‘personalized tariffs’.
So, while 5G promises better service, it may also lead to higher costs. Telecom companies are aiming to earn more from mid
and high-level users. But if plans become too expensive, users might switch to other providers.
