Idea slashes 2G mobile data tariffs by 90 percent, after Vodafone

Telecom service provider Idea Cellular has slashed 2G mobile data tariffs by 90 percent. Idea 3G tariffs will be reduced by 30 percent. Idea is trying to offer a better plan than Vodafone India.

To promote mobile broadband, the Aditya Birla group company will offer 3G data tariffs now at par with 2G, across all Idea 3G circles.

However, the offer is for a limited period — valid for 6 months starting 15 November 2013.

Idea Cellular is responding to Vodafone 2G data offer. Vodafone recently announced 80 percent reduction pre-paid and post-paid customers on 2G on a ‘Pay as you Go’ basis from 1 November, 2013.

But there is a difference between the two offers. Idea announced a flat 90 percent cut. Vodafone offers 80 percent cut on Pay as you Go scheme.

Earlier, Vodafone claimed that the rate cut from 10p/10KB to 2p/10KB will make the Internet more affordable for customers who use mobile internet in a limited way,.

But telecom analysts said the cut in the out-of-plan ‘pay as you go’ tariffs from 10p/10kB to 2p/10kB does not make significant difference to users. Even after the discount, the Vodafone rates are 6x the most expensive 3G plan, and 8x the most expensive 2G plan.

“We believe the ‘pay as you go’ tariff is relevant for first time users who would like to try out data usage before committing to a specific monthly plan. It would also be applicable for heavy data users on data usage in excess of monthly allowance (though we would assume that within a month or two they would have upgraded to higher plans to save on their bills). Thus we do not expect any serious data customers to be on the ‘pay as you go’ tariffs for more than a few weeks. The Vodafone move could attract more first time users to try out data usage on their phones,” an analyst with broking firm said.

Idea Cellular, in a statement, said that 33 million existing, and new data users on the Idea networks can now enjoy reduced data tariffs on their 2G and 3G prepaid and post-paid handsets and dongles.

Idea slashes 2G data rates by 90 percent

Idea 2G data is available at 2 Paise/10 KB. Idea’s 3G users will now be able to save up to 30 percent on their monthly data charges as the same tariff will also be available across all 10 Idea 3G circles, namely – Maharashtra & Goa, Madhya Pradesh & Chhattisgarh, Kerala, UP West and East, Andhra Pradesh, Gujarat, Haryana, Jammu & Kashmir, and Himachal Pradesh.

Ambrish Jain, deputy managing director, Idea Cellular said that the reduction in data tariff is aimed at catalysing the data adoption amongst the masses.

Pix source: The Mint