State-owned Bharat Sanchar Nigam Ltd (BSNL) has emerged as a standout performer in India’s telecom landscape for September 2024, making significant gains in its subscriber base while private telecom giants faced a massive loss of over one crore users. The latest Telecom Regulatory Authority of India (TRAI) report sheds light on this unexpected shift, driven largely by BSNL’s strategic initiatives and private operators’ tariff hikes.

Key Points

BSNL added 8.49 lakh subscribers, bucking the trend of subscriber losses.

Private operators Jio, Airtel, and Vi collectively lost over one crore users.

Reliance Jio saw the steepest decline, losing 79.69 lakh subscribers.

Subscriber losses correlate with tariff hikes by private telecom operators.

BSNL’s no immediate tariff hike policy and user-centric initiatives contributed to its growth.

India’s wireless user base shrank to 1,153.72 million, with urban and rural areas witnessing declines.

BSNL: A Surprising Winner

While private telecom companies grappled with significant losses, BSNL added 8.49 lakh wireless subscribers, bringing its user base to 9.18 crore. This growth can be attributed to its consumer-friendly policies, including a no-tariff hike stance, as reiterated by BSNL’s Chairman and Managing Director, Robert Ravi.

BSNL has also introduced initiatives such as:

Spam blockers to enhance customer experience.

Automated SIM kiosks for easier access to services.

Direct-to-device offerings to attract a broader customer base.

These measures have helped the state-run operator appeal to cost-sensitive users, particularly when private players raised their tariffs.

Tariff Hikes Impact Private Operators

Private telecom operators, including Reliance Jio, Bharti Airtel, and Vodafone Idea, implemented tariff hikes ranging from 10-27% in July 2024. This move has seemingly alienated a section of their subscriber base, leading to a collective loss of over one crore users in September.

Reliance Jio, India’s largest telecom operator, recorded the highest subscriber loss of 79.69 lakh, reducing its base to 46.37 crore.

Bharti Airtel lost 14.34 lakh subscribers, shrinking its user base to 38.34 crore.

Vodafone Idea witnessed a loss of 15.53 lakh users, with its subscriber base now standing at 21.24 crore.

Decline in Wireless and Broadband Users

India’s total wireless subscriber base dropped to 1,153.72 million, reflecting a monthly decline of 0.87%.

Urban areas saw a 0.80% decline, while rural areas experienced a steeper fall of 0.95%.

In the broadband segment, Reliance Jio remains dominant with 47.7 crore subscribers, followed by Airtel (28.5 crore), Vodafone Idea (12.6 crore), and BSNL (3.7 crore). However, the broadband subscriber base also fell, from 949.21 million in August to 944.40 million in September, marking a 0.51% decline.

Conclusion

BSNL’s ability to attract new subscribers amid a challenging market environment demonstrates the potential of user-focused policies and strategic innovation. As private operators continue to navigate the fallout of tariff hikes, BSNL’s rise could signal a broader shift in consumer preferences, particularly in the cost-conscious segments.

The dynamics of India’s telecom industry are evolving rapidly, with BSNL’s resurgence posing a challenge to the dominance of private players. Whether this momentum can be sustained will depend on its ability to maintain service quality and address the needs of an ever-demanding market.