Vi to Launch 5G Services in 75 Cities: Competitive Pricing to Win Back Customers

Vodafone Idea to Launch 5G Services, Set to Challenge Airtel and Reliance Jio

Vodafone Idea (Vi) is gearing up to enter the 5G race, aiming to establish its foothold in India’s competitive telecom market dominated by Reliance Jio and Bharti Airtel. The company plans to roll out its 5G mobile broadband services by March this year, focusing on affordability and network expansion to attract customers and regain market share.

Vi’s 5G Rollout Plan

Target Cities

• Vi will launch 5G services across 75 cities in India, emphasizing urban centers and industrial hubs that have high data consumption.
• The rollout aims to cater to diverse user segments, from individual consumers to data-intensive businesses.

Affordable Pricing Strategy

• Vi’s entry-level 5G plans are expected to be up to 15% cheaper than those of Reliance Jio and Airtel.
• This competitive pricing strategy is aimed at attracting budget-conscious customers and users seeking value for money.

Strengthening Infrastructure

Global Partnerships

To support its ambitious rollout, Vi has secured $3.6 billion (₹30,000 crore) in deals with leading global vendors:

• Nokia, Ericsson, and Samsung will supply advanced equipment and support the development of the company’s network infrastructure.

Network Expansion

• Over the next three years, Vi plans to deploy approximately 75,000 5G sites, leveraging advanced spectrum bands:
  • 3.5 GHz (C-band): For faster speeds and broader coverage.
  • 1,800 MHz: For improved network efficiency.

4G Network Enhancement

• Alongside its 5G rollout, Vi is committed to upgrading its existing 4G network to ensure seamless connectivity for users transitioning between the technologies.

Vi’s Focus on Industrial Hubs

Recognizing the potential of industrial and commercial data usage, Vi is targeting industrial hubs as a key segment for its 5G services.

• The company aims to provide reliable, high-speed connectivity tailored to businesses requiring robust data solutions.

Market and Share Performance

Stock Market Impact

• On Thursday, Vi’s shares traded 0.50% higher at ₹8.06 on the Bombay Stock Exchange (BSE).
• Approximately 1.25 crore shares were traded, slightly lower than the two-week average of 4.75 crore shares, reflecting steady investor interest.

Customer Acquisition Goals

• Vi’s focus on affordability and quality aims to win back customers who migrated to Jio and Airtel due to better services or competitive pricing.

Key Highlights of Vi’s 5G Strategy

1. Affordability First: Competitive pricing, potentially 15% lower than rivals, will be a major draw for cost-sensitive consumers.
2. Targeted Rollout: Initial focus on urban and industrial hubs ensures that the company leverages high-demand areas effectively.
3. Global Collaborations: Partnerships with Nokia, Ericsson, and Samsung strengthen infrastructure capabilities.
4. Dual Focus: Simultaneous enhancement of 4G and deployment of 5G ensures a comprehensive upgrade for its user base.

The Road Ahead for Vi

With its planned 5G launch, Vodafone Idea is positioning itself as a viable alternative to Reliance Jio and Bharti Airtel. By focusing on affordability, quality, and strategic network expansion, Vi aims to rebuild its brand and customer base. As the telecom sector evolves, Vi’s ability to deliver on its promises will determine its long-term success in the highly competitive Indian market.