Thursday, February 02, 2006

Tariff wars

Reliance Infocomm spearheaded another tariff war this January with their One India tariff plan. With One India tariff plan, customers enjoy the privilege of paying a single charge to any number they call within India associated with any service provider. This plan at large simplifies the complexity in understanding the tariff plans and chossing the better that suits the individual needs. It also allows people to enjoy greater talk time for high volume users.

Close to the heels, BSNL also came up with a similar plan whereby you end up paying a single charge to any number you call within India within their network. It really surprised me when the state-run company came up to this competition much ahead than one would have expected. Observers accounted that these could revolutionize the telecom sector. But nothing changed in Airtel or Hutch or with other players over the past month.

As a customer of Airtel, it is really frustrating to see that the provider not keeping up with the tariff cuts. I have to pay nearly 60% more tariff for STD calls in comparison to choosing One India tariff plan. It is high time that Airtel should consider slashing their rates, otherwise they are going to see their customer base getting eroded by Reliance and BSNL.

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