Indian consumers were left disappointed and shocked in July 2024 when major telecom operators including Jio, Airtel, and Vodafone Idea raised the prices of their recharge plans. While these companies avoided explicit price hikes in 2025, they opted to "stealthily" adjust costs by tweaking the benefits provided in existing plans. As we look ahead to 2026, here is what Indian telecom users can expect.
Another major tariff hike on the horizon
When prices were raised in July 2024, many industry analysts suggested that telecom companies follow a two-year cycle for tariff revisions. As that two-year window closes in 2026, users should brace themselves for another significant price increase.
According to a recent report by Morgan Stanley, telcos could hike tariffs by as much as 20 per cent next year. The report stated: "We are now assuming a 16-20 per cent tariff increase across 4G and 5G plans, both prepaid and postpaid, in 2026. This move is expected to drive a strong increase in Average Revenue Per User (ARPU) for companies in Fiscal Year 2027".
The end of "free" 5G data
During the initial 5G rollout in India, unlimited 5G data was offered free of charge. However, operators have already begun moving 5G access behind "paywalls" by restricting it to specific high-value plans. Experts predict that in 2026, 5G will become a premium service, and the cost of accessing high-speed data will likely increase as companies look to monetise their massive infrastructure investments.
The launch of satellite internet
India has been laying the groundwork for satellite internet for the past two years. Major players like Starlink have completed the necessary formalities and are currently waiting for spectrum allocation from the government. With TRAI having already submitted its recommendations, the ball is now in the government's court to finalise the roadmap. It is widely expected that commercial satellite internet services will finally debut in India by 2026, offering high-speed connectivity to even the most remote regions.
BSNL 5G is coming
After completing its nationwide 4G rollout this year, state-owned operator BSNL is now focused on strengthening its network infrastructure. Since BSNL’s current 4G equipment is "5G-ready," the Union Telecom Minister has already hinted that testing for 5G services will begin soon. If the testing phase remains on track, BSNL 5G is expected to officially launch in 2026, providing a much-needed alternative in the competitive market.
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