CLSA expects the recent tariff hikes in India’s telecom sector to strengthen the market position of Bharti Airtel and Reliance Jio, while Vodafone Idea (VIL) faces challenges due to its financial constraints. Bharti Airtel is predicted to lead with an ARPU (Average Revenue Per User) target of ₹236 by FY25, aiming for ₹300 in the longer term. These hikes, coupled with 5G rollouts, are likely to drive sector revenue growth at a CAGR of 14% to reach ₹2.85 lakh crore by FY25
Source:- bbc news
While Jio and Airtel are anticipated to gain market share, VIL continues to struggle with delayed fundraising and spectrum payment equity conversions, which hampers its ability to invest in 4G and 5G infrastructure. The combined market share of Airtel and Jio currently stands at 77%, with further gains expected if VIL’s financial instability persists
Source:- news 18
These dynamics suggest continued dominance by Airtel and Jio, with revenue growth primarily fueled by higher tariffs and increased data penetration, benefiting from the premium user segment.
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