India is a very big country where its population covers 110 crore, it is expected to cover China in the population within 10-15 years from now. So there is a very big market here for the operators. Operators from all over the world are in competition to invest in India's telecommunications market.
India has mobile phone companies for GSM and CDMA, GSM players are Airtel, BSNL / MTNL, Vodafone, Trust, Idea, Tata Docomo, Aircel, Uninor. CDMA operators are Tata Indicom, Reliance, Virgin Mobile, MTS. Most market share is owned by operators such as Airtel, BSNL / MTNL and Reliance.
With a recent increase in operators, the tariff war between these to maintain the market has also increased, its intensity is getting more day by day. Initially, the SIM card in India was sold at around $ 2 or Rs.99 but now it has dropped to $ 0.5 or Rs.25, even less. Sim cards are sold on the road like vegetables. There were deals like 3 Sim cards of different operators sold for only $ 2 or Rs.99, so is the situation in india now.
Tata Docomo took the revolutionary step by introducing a new billing system per second, as the user will be charged in seconds rather than a minute, so if you talk for about 30 seconds you will be charged 30x per second call. With this, all other operators were also forced to start the same system of second billing. Call cost announced by Docomo was 1 paise / second.
MTS is a new entry into the Indian mobile phone market, a CDMA player, presented 0.5 paise / second plan. Other operators also offer offers like 10,000 seconds free per month or 5,00,000 seconds free per month on a small recharge. Well, if it's not hard for them to stay in India, because people here are like change, they will easily receive offers that are more economical than what they own.
If this continues, the situation may be where operators could provide household appliances such as mixers, grinders, etc., with a SIM card to attract customers to them. Finally, the user who will be banned from this tariff war and, to some extent, the operators too.
Source by Pradeep Prabhu