New Delhi: A senior vodafone idea official said on Thursday that the debt-ridden company Vodafone and Idea excepts that the price of 5G will be at a premium with more data than the current 4G service.
Ravinder Takkar, Managing Director and Seaf Executive Officer, Vodafone Idea, said during an earning call that the company has spent a huge amount to acquire spectrum in the recent auction, In which there is a need to charge a premium for 5G service.
In such a situation, it is expected that by the end of this year, the total tariff for mobile phone service will increase.
“Given the fact that a considerable amount of money has been spent on spectrum, we believe that 5G should be priced at a premium of 4G.
Users can price it at a premium, but clearly within that premium they can have a situation where the number of gigabytes they get given the extra bandwidth users get in a 5G is high because they would usually consume more.
He said that the growth in data consumption on 5G networks will depend on the use cases developed and adopted by the users.
Meanwhile, Vodafone Idea has purchased spectrum worth Rs 18,800 crore, which includes radio waves in mid band in 17 priority circles and spectrum in the 26 GHz band in 16 circles for 5G service.
The company also acquired additional 4G spectrum in three circles of Andhra Pradesh, Karnataka and Punjab.