Rise in active mobile users indicates tariff hike absorption

THE INDUSTRY-WIDE addition of 6.8 million active users in October 2024 suggests that the industry has more or less absorbed the tariff hikes taken in July this year, experts said, analyzing the latest telecom subscriber data released by the Telecom Regulatory Authority of India (Trai).

- URVI MALVANIA

"The sector's active subscribers jumped sharply in October after three months of volatility due to price hikes. Since the tariff hikes undertaken in July 2024, active subscriber base has increased by ~5.7mn, suggesting that the market has absorbed the price hikes," analysts from Jefferies said. The increase in active subscriber base was driven by Jio (+3.8 mn), Bharti Airtel (+2.7 mn) & BSNL/MTNL (+0.8 mn), and was partially offset by subscriber fall in VIL (-0.7 mn).