Unlimited 5G data offers may soon end, and telecom companies may introduce separate tariffs for 5G services, according to a recent report.
The report indicates that Indian telecom operators might discontinue promotional 5G offers, which currently provide unlimited 5G data at no extra cost with 4G plans.
Bharti Airtel and Reliance Jio, the only 5G service providers in India at present,
are expected to increase tariffs for 4G plans and start charging separately for 5G.
Introduction of Separate 5G Plans
India Ratings and Research (Ind-Ra) presented findings, shared by TelecomTalk, suggesting that promotional 5G offers may end by FY25, and separate 5G plans may be introduced.
However, these new 5G plans are not expected to be priced higher than 4G plans, as the current needs met by 5G can also be fulfilled by 4G.
Pricing and Data Availability for 5G
The rating firm believes that 5G data tariffs per gigabyte (GB) will be lower than those for 4G. For example, if 1GB of 4G data costs Rs 5, 5G data could cost Rs 2 or Rs 3.
However, despite the lower per-GB cost, the overall price of 5G plans might be slightly higher than 4G plans because telecom companies will offer more data with 5G plans.
Growth of 5G Subscribers in India
Ind-Ra projects that 5G subscriber growth in India will increase to 20-25% from the current 17%.
However, this growth rate will not match the rapid pace seen with 4G subscribers, primarily because the average selling price of 5G phones is 2-4 times higher than standard devices.
Despite this, Prashant Tarwadi, Corporates Director at Ind-Ra, believes 5G will gain popularity among customers,
particularly high-paying or premium users, even after telecom companies start charging for it.
