Airtel hints a tariff hike, CEO says ‘huge headroom to reduce discounts’

By August 7th, 2015 AT 3:49 PM

Bharti Airtel hinted a hike in tariff of the voice calls, saying that there was a big opportunity in reducing discounts and freebies on voice calls.

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“Voice realization is 30-33 paise per minute whereas our rack rates are almost about 90 paise, so there is huge headroom to reduce discounts,” Bharti Airtel (India & South Asia) MD & CEO Gopal Vittal said. Airtel already increased its data prices in last few months.

“We have made some changes in the last few months, let’s see there is an opportunity to cut discounts on voice calls,” Vittal said. He added that the company is not concerned about the data prices as it is an arena, which is massively growing. According to him, the actual challenge is voice realization, which needs to be increased reports Hindustan Times.

Also read: Airtel Launches ‘Infinity Plans’ Offering 4G Data Benefits

After the auction held in March, COAI conveyed the need to rise the tariffs as the telecom service providers have to meet the commitments to the government. Operators like Idea Cellular, Vodafone, and MTS too have surged their data charges for 2G and 3G.

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