Indian mobile users may soon have to pay more for their monthly recharge plans. As per recent industry reports, telecom operators in India are preparing to increase mobile tariffs by 10 to 12 percent before the end of 2025. This would mark the second major price revision within a span of just 18 months.
The increase is expected to affect primarily mid-to-high range recharge plans, while basic and entry-level plans may remain unchanged to avoid losing price-sensitive customers.
Why Another Tariff Hike Is Being Considered
Subscriber Growth Drives Pricing Strategy
The telecom industry has reported a significant increase in the number of active mobile subscribers. In May 2025 alone, telecom networks added 7.4 million active users, the highest month-on-month growth in nearly two and a half years. With this rise, the total number of active mobile subscribers in India has reached 1.08 billion.
This surge not only reflects the acceptance of the previous tariff hikes but also indicates renewed demand for secondary SIM cards linked to digital services like banking, government IDs, UPI, and app-based services.
Tiered Pricing Strategy: What It Means for Users
Telecom companies like Bharti Airtel, Reliance Jio, and Vodafone Idea are expected to follow a tiered approach to pricing. Instead of a flat hike across all plans, operators may segment users based on:
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Data consumption
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Usage times (peak vs. off-peak)
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Internet speed preferences
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Access to bundled services like OTT or cloud storage
By targeting users who consume more data or use premium services, telcos hope to increase revenue without pushing users to switch providers.
Who Will Be Affected Most
Likely to be Impacted:
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Users on mid-range and high-end prepaid plans
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Subscribers relying heavily on data-intensive activities like streaming, gaming, and video calls
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Customers who use add-on packs or value-added services
Less Likely to Be Affected:
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Users on low-cost or basic plans
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Rural and economically sensitive user segments
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Light data users or those using secondary SIMs
Telecom companies may choose not to hike prices for low-value plans in order to maintain market share and avoid user attrition in competitive segments.
A Look Back: Previous Tariff Hike in 2024
In July 2024, telecom providers increased base recharge prices by 11 to 23 percent, marking one of the largest single hikes in recent years. Despite initial resistance, user retention remained stable, encouraging telcos to consider another increase.
Since that adjustment, there has been a noticeable rebound in active usage, making another price revision seem more feasible from a business standpoint.
Industry Perspective on the Hike
An unnamed executive from the telecom sector was quoted saying:
“The recent record pace of active subscriber additions in May is not just due to the general acceptance of past tariff hikes, but when the necessities-linked secondary SIMs return to the system.”
This suggests that increased mobile dependence for everyday tasks like banking, shopping, learning, and payments is driving long-term engagement with telecom services.
What Consumers Can Do to Prepare
If you’re a mobile user in India, here are some ways to manage potential price changes:
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Track your current usage patterns using your telecom provider’s app
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Evaluate long-term recharge options to lock in current rates before the hike
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Monitor bundled plans that offer better value (data + OTT + voice)
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Avoid excessive usage during peak hours, if pricing becomes time-sensitive
Users should remain aware of new plan announcements and promotional offers that may roll out during the transition.
Key Telecom Trends to Watch in 2025
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Expansion of 5G services and pricing across metro and tier-2 cities
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Introduction of smart, usage-based recharge plans
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Greater push for AI-powered recommendations in telecom apps
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Continued investment in network infrastructure to handle higher traffic
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Competitive bundling with entertainment and cloud services
These trends may shape how tariff hikes are implemented and how users interact with their telecom providers.
Higher Prices with Higher Value
A potential hike in mobile tariffs by the end of 2025 reflects the shifting dynamics of India’s telecom industry. As demand rises and technology evolves, providers are looking to balance affordability with profitability.
While a 10 to 12 percent increase may seem steep to some users, it is likely to be accompanied by improved network reliability, better speed, and more personalized services. The move toward tiered pricing suggests that operators are working to ensure that higher costs are matched with higher value.
For consumers, the key is to stay informed, monitor personal usage, and take advantage of the best plan options available in a changing mobile landscape.
