Top Two Indian Telecom Operators Revenue Market Share Will Keep Increasing

Top Indian Telecom Operators

The top two telecom operators in India (Reliance Jio and Bharti Airtel) will keep growing their revenue market share (RMS) in the coming future if Vodafone Idea (Vi) can’t cope with them in terms of network investments. It is worth noting that because of the weak financials, Vi isn’t investing in its networks in full capacity. Because of this, its rivals Bharti Airtel and Reliance Jio gain the upper hand in offering better network services to the users. This, in turn, would push the subscribers to recharge more Airtel and Jio plans. As per Jefferies, an analyst firm, Vodafone Idea would keep losing RMS if it can’t invest in its networks.

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Vodafone Idea Will Get Benefits of Relief Package, But So Will Jio and Airtel

The government is expected to come out with a relief package for the telecom sector very soon. This will help Vodafone Idea to a certain extent. But it will also be beneficial for Jio and Airtel, noted Jefferies.

As per the data shared by the analyst, Jio and Airtel command about 72% RMS and have gained 60 basis points (bps) and 120 bps in one year. The operators have RMS levels of 38% (Jio) and 34% (Airtel).

At the same time, it is worth noting that Vodafone Idea (Vi) has lost 180 bps that brought down its RMS to 19%. Due to the huge debt that Vi has in its books, the telco can’t really make any big and aggressive investment in its network. That is why Vi has been in a search of an investor, which has not brought any positive results for the telco.