RCOM Drops GSM Rates. Start Of Price War?
Reliance Communications has reduced its GSM tariffs by 50% by doubling talktime period and extending validity for lifetime.
Under the new offer, subscribers would be able to make local calls at 50 paise per minute (Re 1 earlier) and STD calls at 75 paise per minute (Rs 1.50 earlier). All new Reliance Mobile GSM connections will also come with lifetime validity at a nominal charge.
The company will also provide a daily talk-time credit of Rs 4 for 90 days, thus a total talk-time of Rs 360 (6 times that of the recharge value). The additional talk-time can also be used to make local calls and send SMS to any network, it said.
In times of falling ARPUs and increasing competition, does such a drop make business sense – dropping rates to build up subscribes is what RCOM did with its CDMA launch, the the first few months were rather painful for the subscribers.
Related posts:
- Reliance Drops Call Rates To 50p/ Min
- Airtel Reduces Roaming Rates By 60% – Is It Enough?
- RCom Soft Launches GSM Service
- RCom Set To Start Price Wars With Cheapest Smartphone
- RCom Merges GSM and CDMA Services In Orissa
Filed under: Business
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