Date:17/08/2004 URL: http://www.thehindubusinessline.com/2004/08/17/stories/2004081701780700.htm

Back Cell operators' ARPU dips 6.7 pc

Our Bureau

New Delhi , Aug. 16

CELLULAR operator's average revenue per user (ARPU) has dropped by over 6.7 per cent during the quarter April to June as compared to the previous quarter this year.

The revenue per user has come down from Rs 432 per month to Rs 402. Overall revenues have, however, increased by 8.3 per cent from Rs 2,422 crore to Rs 2,625 crore.

According to a report released by the Cellular Operators Association of India, the operator with the biggest dip in average revenue per user was BPL with a 19 per cent drop during the period, followed by Aircel with a 15 per cent drop in ARPU. Bharti Cellular, the largest GSM based cellular operator, also saw a 5 per cent dropThe least drop has been for Hutch, which has recorded only a one per cent decrease .

While drop in tariffs have resulted in lower ARPU, growth in the subscribers base by over a million users a month has resulted in higher overall revenues for most operators.