New Delhi
Vodafone Idea Ltd (VIL) and Airtel on Monday said that they would "suitably increase the prices of its tariffs" from December.
"The acute financial stress in the telecom sector has been acknowledged by all stakeholders and a high level Committee of Secretaries (CoS) headed by the Cabinet Secretary is looking into providing appropriate relief," the companies have said.
Mobile data charges in India are by far the cheapest in the world even as the demand for mobile data services continue to grow rapidly, the companies have said.
Airtel and Vodafone Idea have posted a combined loss of Rs 74,000 crore in Q2 by provisioning for the AGR pending dues. Vodafone had already hinted at not being able to remain as a going concern if relief does not come for the sector.
VIL said it is speedily expanding both its coverage and capacity and is well on track to offer 4G services to 1 billion Indian citizens by March 2020.
Telecom regulator Trai is likely to initiate a consultation for bringing rationality in pricing in the Indian mobile sector, which has been operating at prices that have been eroding its viability.
(With inputs from PTI)
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