Winning Bizness Desk
Mumbai. The process of auctioning 5G spectrum is over and due to this expensive auction, there are strong possibilities of increasing mobile tariffs in the country. The three existing telcos and the Adani Group have bid for spectrum worth Rs 1,50,173 crore in the 5G spectrum auction, after which it is believed that mobile tariff is bound to increase.
Jio's bid for Rs 88,078 crore
Reliance Jio, the telecom company of Reliance Industries Chairman Mukesh Ambani, has bid for a total of Rs 88,078 crore, while Bharti Airtel has bid for Rs 43,084 crore and debt-ridden Vodafone Idea Rs 18,799 crore and Adani Group has bid for spectrum worth Rs 212 crore. Spectrum allocation is to be done by August 10, 2022. These telecom companies have to pay big money to pay the license fee of the government. In September-October 2022, 5G mobile service will be started in many big cities of the country.
Companies will struggle to pay license fee
Companies will have to increase their revenue to pay the license fee forcing companies to hike mobile tariffs. This time the eye is on postpaid mobile tariff and data rates. Earlier, just a month after the end of the year 2021, apart from Airtel, Vodafone Idea, Reliance Jio had announced to increase the prepaid mobile tariff. But in the coming time, telecom companies are preparing to increase postpaid mobile tariffs along with prepaid.
Tariff will increase after 3 months
Top management of all telecom companies has already said that another mobile tariff can be hiked. Top management of one company had said that even though mobile tariffs will not increase in the next 3 or four months, mobile tariffs will be increased in this calendar year.