The unfolding telecommunications disaster is about to hit subscribers difficult, with two of the country’s biggest telecommunications Bharti Airtel and Vodafone finding out to raise prices from 1 December onwards after they had stated exceptional losses due to the provisioning of AGR (adjusted gross revenue) costs.
Airtel and Vodafone Idea Limited publicly announced on Monday, after announcing certainly one of their biggest losses within the Indian telecommunications marketplace that their customers would likely have to start paying more for their mobile plans.
This change comes into effect from December 2019, and it is possibly that the telcos may be attaining out to its user base across the country and informing them about the changes about to take place in the coming weeks.
“The telecommunications market is highly capital-intensive, with swiftly changing technology cycles requiring persisted funding. It is therefore extremely important that the business remains viable to sustain Digital India’s dream,” Bharti Airtel said in a statement. “Airtel will therefore raise its product offers accordingly in the month starting in December,” he said.
Vodafone also said that the extreme economic pressure in the telecommunications enterprise has been regarded by all shareholders and the Cabinet Secretary’s High-Level Committee of Secretaries (CoS) is working to provide sufficient relief.
Vodafone Idea Ltd announced that it would “improperly increase the prices of its tariffs” with impact from 1 December.
Airtel and Vodafone Idea had suffered a cumulative loss of Rs 74,000 crore in Q2 by providing the AGR with unpaid charges. Vodafone also indicated that it will not be able to remain as an ongoing concern if there is no support for the market.
Besides Vodafone & Airtel users in India will must pay greater for their cellular plans.