After years of being overshadowed by private giants telecom operators, is the state-owned telecom operator Bharat Sanchar Nigam Limited (BSNL) now gaining back customer confidence and giving Airtel, Vi, and Jio tough competition?
The recent tariff hikes from major telecom players like Reliance Jio, Bharti Airtel, and Vodafone Idea (Vi) have pushed cost-conscious customers to reconsider their options, and BSNL’s affordable plans have emerged as an appealing alternative as of now for many.
Tariff Hike Pushes Customers Toward BSNL
According to the latest data from the Telecom Regulatory Authority of India (TRAI), BSNL has gained 29.4 lakh new subscribers in July 2024.
After being sidelined for years by private giants like Reliance Jio, Bharti Airtel, and Vodafone Idea (Vi), the state-owned telecom company is making headlines once again.
BSNL saw an influx of 29.4 lakh new subscribers | Representative Image
One of the major factor contributing to the come back for the state owned telecom operator is the unexpected beneficiary of the mobile tariff hikes announced by its competitors in July.
Tariff Hike and BSNL
Telecom giants Jio, Airtel, and Vi in July 2024 raised their mobile tariffs by up to 27 per cent. In contrast to this, in the same month, BSNL saw an influx of 29.4 lakh new subscribers.
Meanwhile, the private telecoms experienced significant losses, according to a monthly subscribers report released by the Telecom Regulatory Authority of India on Friday.
Telecom giants Jio, Airtel, and V |
Reliance Jio, one of the market leader in the sector currently, saw a reduction of 758 thousands users. Similarly, Bharti Airtel reported lose of 16.9 million subscribers, and Vi shed 14.1 million customers, according to the latest data by TRAI.
Private Operators Suffer Losses
The market share of Jio, Airtel, and Vi fell in July with shrinking its user base.
Jio’s market share dropped to 40.68 per cent, Airtel’s fell to 33.12 per cent, and Vi’s slipped to 18.46 per cent.
Representational Image |
On the other side, the state-run BSNL’s market share rose to 7.59 per cent, highlighting the impact of the tariff hikes.
Surge in 4G/5G and Wireline Services
Despite the tariff hikes, Airtel was able to add 25.6 lakh higher-paying 4G and 5G users in July. However, Jio and Vi struggled in this segment, losing 7.60 lakh and 11 lakh 4G/5G users, respectively.
In the Wireline (fixed-line) services segment, Jio added 4.80 lakh new subscribers, garnering 38.46 per cent of the market. Airtel followed with 1.36 lakh new users, while BSNL unfortunately lost 1.34 lakh fixed-line customers, which still shows that the state-owned operator is still facing challenges in some areas.
The big question still contines of whether BSNL can maintain this momentum and continue to compete against the giants of the telecom industry. With its growing customer base and rising market share, it seems like the state-owned operator is back in the game, at least for now.