Data war: Idea slashes rates by up to 67%, matches Airtel

Company responds to Mukesh Ambani-led RIL’s Reliance Jio, which is set to launch high-speed data and 4G voice services.

Telecom companies slash data rates to get more customers. (AFP)

A day after Bharti Airtel announced steep discounts in its data tariffs, Aditya Birla group company Idea Cellular announced it was cutting data tariffs by as much as 67%.

Airtel had said on Sunday that it would offer prepaid customers 67% more data for the same fees.

"Idea Cellular has now slashed the rates of its 4G, 3G BIG Internet packs by up to 67%, providing more value to heavy Internet users who consume data packs of 2GB to 1 GB," Idea said in a statement on Monday.

Last week, Idea had announced the price reduction by 45% for so-called 'light' users, who consume below 1 GB.

Mukesh Ambani-led RIL's Reliance Jio is set to launch high-speed data and 4G voice services, which may be as early as next month. Jio is already offering services for a limited number of users on a trial basis, integrating spectrum and testing the network.

Airtel stock slipped by 4% to close at ₹363.45 on BSE, while Idea shares declined 6.5% to close at ₹103.90. Reliance Industries' fell 0.82% to close at ₹1,004.25 as investors worried about the impact of a tariff war on bottomlines.