NEW DELHI: The market share of Vodafone Idea, once the largest telecom service provider, fell below 20% in July 2023 owing to depleting subscriber base. According to the Telecom Regulatory Authority of India (TRAI) monthly subscription data, in July 2023, the market share of Vodafone Idea shrunk to 19.92%. The country’s third-largest telco lost nearly 1.3 million subscribers to its competitors.
Meanwhile, its competitors Reliance Jio and Bharti Airtel kept on gaining their subscriber base every month, and strengthening their market share. Reliance Jio holds 38.60%, Bharti Airtel 32.74% and state-owned Bharat Sanchar Nigam Limited (BSNL) 8.74%.
Vodafone Idea was the market leader in the country after merging with Vodafone and Idea in 2018. Wireless subscribers data as of October 31, 2018, showed Vodafone Idea with 36.55% market share was the lead player in the sector, followed by Bharti Airtel with 29.20%, Reliance Jio 22.46% and BSNL 9.70% market share.
It is believed that the reason for not catching up with its competitors is not being able to upgrade its network, and lack of funds. Moreover, the loss-making company is not able to convince investors to invest in the company. Meanwhile, its competitors Reliance Jio and Bharti Airtel are aggressively investing in their network, and already offering 5G services to their customers.
Vodafone Idea has not yet updated to 5G even after other telcos launched 5G services a year ago. The company posted a loss of Rs 7,840 crore in its earnings report for April to June 2023. However, there are some positive things happening with the telco as it paid Rs 17,000 to the Department of Telecommunication (DoT). It includes the dues for the 5G spectrum and other spectrum charges acquired previously.