KOLKATA: The turmoil in the telecom sector is getting easier with the stable prices for the last three quarters and some industry officials and experts are increasing tariffs in the next two quarters. This could be more than two years of rock-bottom prices for Indian telecom consumers.
Officials said that there may be some leaning in the next two quarters for testing the market reaction, but noticeable pricing power can return only after six months. But the key for this is Reliance Jio Infocomm, which has kept a fairly stable since January.
Since its entry in September 2016, Geo’s pricing aggression has forced clients to match the rates to maintain consumption, voice and data services.
Subscribers benefited but the old mobile phone companies of India were hurt. Small carriers who could not face brutal price war and the industry consolidated three big private players – Vodafone Idea and Bharti Airtel between old and Geo – making it the ideal market position for pricing power to come back over time. Staying, analysts are said to be.
Vodafone Idea, Bharti Airtel and Geo did not respond to queries.
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