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Extending the pilot launch Vodafone India made in June cutting internet access tariffs, the company has now announced an all-India price cut in headline rates. Customers of Vodafone, India's second-largest mobile phone operator, who opt to pay for internet depending on usage rather than in a fixed pack will now pay 2 paise per 10 KB even while roaming in India, the company said in a statement on Thursday. Previously, the rate was 10 paise per 10 KB. Over half of Vodafone India's 154 million customers use pay as you go plans.
Earlier this year, Bharti Airtel, India's largest mobile phone company, slashed 2G data charges by 90% in nine circles of UP east, Haryana, Madhya Pradesh, Maharashtra, Kerala, Gujarat, Kolkata, Punjab and Orissa from 10 paise per 10 KB to 1 paisa per 10 KB.
Vodafone India, the Indian arm of the UK-based telecom major Vodafone Group, at the time cut tariff by 80% in Karnataka, UP West and Madhya Pradesh and Chhattisgarh to 2 paise per 10 KB from 10 paise per 10 KB in order to 'make internet access affordable for customers who use mobile internet in a limited way'. Smaller rival Idea Cellular followed suit.
However, implementing this change only on pay-as-you-go basis means that the tariffs kick in only after users exhaust their free data usage limits, which for now account largely only for accidental users. For example, a Vodafone user is using a data plan that allows 1 GB free usage for a month for a fixed rate. When the 1 GB limit gets over, he or she will be charged 2 paise per 10 KB of data used, instead of 10 paise per 10 KB of data.
Vodafone said the reduction in data tariff has been successful in the three earlier zones. However, the company did not say elaborate if the rate cut resulted in higher data consumption. Vodafone's latest move follows on the footsteps of the company slashing international roaming rates earlier Monday.
It offered packages which included a flat 95% cut on data charges and up to 78% cut on voice calls, while on roaming. It had cut international roaming rates by 60% in June 2012.
Vodafone slashes data prices by 80% across the country - The Economic Times