Markets India

Bharti Airtel's mobile subscriber additions dropped to 0.7 million in Q2 FY27, while Reliance Jio surged to 7.7 million, highlighting intensifying competition in India's telecom sector.

Airtel's Subscriber Additions Plunge as Jio Gains, Despite ARPU Growth

Bharti Airtel reported a sharp decline in mobile subscriber additions to 0.7 million in Q2 FY27, down from 3.3 million in Q1 FY27, as Reliance Jio expanded its base to 7.7 million. Airtel's mobile ARPU grew 2.7% sequentially to ₹271, driven by an additional day in the quarter and higher postpaid subscribers. The telecom giant reintroduced its ₹299 prepaid data plan, matching Jio's entry-level pricing, but its cheapest plan after scrapping the ₹299 option was ₹349. Airtel's home broadband additions rose 4.7% to 15.36 million homes, though it scaled back fixed wireless access (FWA) expansion. Jio's entry-level plan remained at ₹299, with its Jio Prime scheme offering ₹300 for 12 months (₹25/month). Airtel raised postpaid tariffs by ₹50/month from 8 October, increasing minimum plan prices to ₹499. These moves underscore Jio's dominance in low-cost data plans, pressuring Airtel's market share despite higher ARPU. The shift in pricing strategies highlights structural challenges in India's telecom sector, where competition is intensifying.

Airtel plans to deploy fibre-to-the-home (FTTH) connections, which may take longer to implement. Jio’s Jio Prime scheme will provide protection against tariff hikes for a year. Airtel’s Q2 FY27 Ebitda performance will be closely watched by investors.

Airtel's subscriber loss to Jio underscores competitive pricing pressures. The key uncertainty is whether ARPU growth can sustain without significant subscriber base erosion.

Topics: Telecom Sector, India Markets, ARPU Growth, Home Broadband, Fixed Wireless Access, Jio Prime, Postpaid Tariffs

#TelecomSector #IndiaMarkets #ARPUgrowth #HomeBroadband #JioPrime #PostpaidTariffs

Source: LiveMint