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Vodafone slashes mobile Internet charges by 80%

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The rate cut from 10 paise per 10 KB to 2 paise per 10 KB will make Internet more affordable for customers who use mobile Internet in a limited way.
The rate cut from 10 paise per 10 KB to 2 paise per 10 KB will make Internet more affordable for customers who use mobile Internet in a limited way.

GSM operator Vodafone India has slashed mobile internet tariffs by 80 per cent effective November 1.

Upping the ante on the pricing front, Vodafone India has slashed mobile internet tariffs by 80 per cent, effective November 1, a move that is likely to be followed up by other operators.

“The reduction in mobile Internet charges for customers using 2G is an important step in our strategy to drive mobile Internet and we are confident that this move will facilitate in faster adoption and better usage,” said Vodafone India Chief Commercial Officer Vivek Mathur.

The pan-India reduction is for both pre- and post-paid customers and on a pan-India basis.

The GSM operator has slashed mobile internet rates to 2 paise per 10 KB from the present 10 paise per 10 KB, while it would only levy home rates for customers using mobile Internet while on roaming.

These initiatives would make Internet more affordable for customers who use mobile Internet in a limited way, it said.

“I don’t there would be any impact on the company’s revenues as this reduction would entice more new users to try out mobile Internet. Further, it would also prompt existing users to consume more, resulting in increased usage,” Mohammad Chowdhury, Leader-Telecom at PwC India, said.

Further, this would also result in other operators following suit, he said.

Other operators were non-committal on slashing mobile Internet rates, but added they were mulling the options.

rajesh.kurup@thehindu.co.in

(This article was published on October 31, 2013)
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