Vodafone Idea Faces Subscriber Port-Outs Amid Recent Tariff Hikes

Vodafone Idea is experiencing an increase in subscriber port-outs to BSNL following its recent tariff hikes. The company's CEO, Akshaya Moondra, expressed that these decisions may not sustain over time due to VIL's superior 4G coverage. The impact of the tariff hikes on the ground is still being assessed.

Telecom operator Vodafone Idea (VIL) is witnessing a rise in subscribers porting out to BSNL after recent tariff hikes, the company reported on Tuesday. VIL CEO Akshaya Moondra stated during the company's Q1 earnings call that quick decisions to port out may not last, given VIL's comprehensive 4G coverage.

In July, Vodafone Idea implemented tariff increases ranging from 11-24%, aligning with industry-wide hikes. Unlike its competitors, state-owned BSNL has not raised its tariffs, prompting increased port-outs.

Moondra noted that it was too early to determine the full impact of these tariff changes. However, he suggested that the minimal entry price increase might result in less SIM consolidation. He emphasized that VIL would continue monitoring the situation, hinting at further tariff rationalization to cover capital costs.

(With inputs from agencies.)