Expansion in Airtel user base shows limited impact of Reliance Jio’s offerings
KOLKATA: Bharti Airtel NSE 2.85 %’s record post-paid subscriber additions over the past two quarters underline the limited impact of Reliance Jio Infocomm’s recently spruced up post-paid offerings, according to analysts. This implies that the Sunil Mittal-led telecom operator is ahead in the race for premium users and on course to maintain double-digit revenue growth even without raising tariffs amid sustained growth in 4G subscribers and increased utility of fast broadband during the pandemic, they said.
“Airtel’s 0.7 million post-paid customer additions in the December quarter, and a total 1.4 million in the last six months, which as per the management is at a decadal high, indicate the negligible impact of Jio’s new post-paid plans,” JM Financial said in a note seen by ET.
In September last year, Jio had unleashed new, cheaper post-paid plans in a concerted bid to grab the higher-paying customers of India’s older telcos. But the leading telco has so far been unable to rock Bharti Airtel’s boat on this score, said analysts.