GSM Operators See A Marginal Increase in Average Revenue Per User, But For How Long?

The Financial Express: India’s private sector GSM mobile operators have recorded a marginal rise in their average revenue per user (ARPU) to Rs 400 ($8.9) in the fourth quarter of 2004 compared to Rs 396.4 ($8.80) in the previous quarter, says Cellular Operators Association of India (COAI).
This is interesting since the ARPU has been on a declining trend as tariffs have been slashed across the board. Maybe value added services like ringtones and SMS have an impact on the revenues, as the call charges have been on a downward swing.
However, it’s no surprising that Hutch, which always lead the pack in ARPU, has seen a decline in ARPU to Rs 469.93 in Jan-March quarter compared to Rs 484.08 in the October-December quarter. But, Bharti Televentures has achieved an ARPU of Rs 427.90 in the January-March quarter, a 3.42 per cent rise over its October-January quarter.

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