1 7m subscribers lost by telecom operators in march

A significant decline in subscribers!

According to recent reports, telecom operators in India lost around 1.7 million subscribers in March 2023. This is a significant decline, considering the industry has been experiencing steady growth in recent years.

Here are some possible reasons behind this decline:

  1. Competition: The Indian telecom market is highly competitive, with multiple operators vying for customers. This competition can lead to a decline in subscribers as customers switch to other operators in search of better deals or services.
  2. Price wars: The ongoing price war between operators, particularly between Reliance Jio and Bharti Airtel, may have led to a decline in subscribers. As operators reduce their tariffs to stay competitive, they may not be able to maintain their subscriber base.
  3. Regulatory issues: The Indian government's recent decision to increase the minimum public shareholding requirement for listed companies may have led to a decline in subscribers. This change may have made it more difficult for some operators to maintain their subscriber base.
  4. Economic slowdown: The Indian economy has been experiencing a slowdown in recent years, which may have led to a decline in disposable income for consumers. This could result in a decline in subscribers as consumers cut back on discretionary spending, including mobile services.
  5. Shift to OTT services: The rise of over-the-top (OTT) services, such as streaming platforms and social media apps, may be contributing to a decline in mobile subscribers. As consumers increasingly use these services for entertainment and communication, they may be less likely to subscribe to traditional mobile services.

It's worth noting that the decline in subscribers is not uniform across all operators. Some operators, such as Reliance Jio, have continued to add subscribers, while others, like Bharti Airtel, have experienced a decline.

What do you think is the main reason behind this decline in subscribers?