You can use Vodafone Idea's voice-only plans by October-end
What's the story
Vodafone Idea is all set to launch its new voice-only plans by the end of this month. The move comes in response to the Telecom Regulatory Authority of India (TRAI)'s call for more affordable voice-only options for low-income users. The deadline for this initiative was initially reported as October 21 but has now been extended to October 30.
Effect
TRAI mandate affects telcos' revenue
The TRAI mandate particularly targets 2G and feature phone users in India.
This is expected to have a significant impact on the average revenue per user (ARPU) and revenues of companies like Vodafone Idea and Bharat Sanchar Nigam Limited, which have a large number of subscribers in this segment.
Notably, 34% of Vi's subscriber base consists of 2G users while they make up about 85% of BSNL's total subscriber base.
Market response
Airtel introduces voice-only plans, Jio yet to announce
In response to TRAI's mandate, Bharti Airtel has already introduced three voice-only plans in the range of ₹185 and ₹206. Meanwhile, Reliance Jio is yet to announce its plans.
The new offers by Airtel are 7-16% cheaper than its existing entry-level plans, as per Morgan Stanley.
Currently, Jio offers annual and quarterly plans priced at ₹1,748 and ₹448 respectively, while Vodafone Idea has similar offerings priced at ₹1,849 annually and ₹470 quarterly.