Indian telecom giant Airtel has recently announced an increase in the base price of its prepaid plans to Rs 155 across the country. The company has attributed the hike to the rising costs of network infrastructure and spectrum charges. The new base plan includes 1GB of data and 300 SMS and is effective from March 2023.

For many customers, this price hike comes as a surprise, as Airtel had not made any significant changes to its prepaid plans in recent years. However, industry experts suggest that the increase was long overdue, considering the rapidly changing dynamics of the telecom sector in India.

Airtel, along with other telecom operators in India, has been facing intense competition and financial pressures, with a significant drop in Average Revenue per User (ARPU) in recent years. In addition, the rising costs of network infrastructure, spectrum charges, and technology upgrades have further impacted the financial performance of the company.

The new base prepaid plan of Rs 155 includes 1GB of data, which is sufficient for basic internet usage such as browsing and checking emails. The plan also includes 300 SMS, which may appeal to users who still rely on text messages for communication. However, for customers who require more data or voice minutes, Airtel offers a range of other prepaid plans with varying benefits.

Airtel’s decision to increase the base price of prepaid plans could also have an impact on the wider telecom industry in India. Other operators may follow suit and raise their prices, leading to a potential shift in market dynamics. However, this move may also lead to a decrease in the number of prepaid users, as customers may opt for cheaper plans offered by other telecom operators or switch to postpaid plans.

It is important to note that Airtel has assured its customers of continued investments in network infrastructure, technology upgrades, and customer service. The company has also stated that it remains committed to providing affordable and high-quality services to its customers.