This will benefit 944.8 million mobile phone users without paying extra charges while traveling in the country.
Earlier subscribers had to pay normal call charges for outgoing calls and roaming charges while roaming of 75 paise to Rs.1 per minute.
But After the Government announcement Giant Telecom Operators in India like Bharati Airtel, BSNL, Vodafone and Idea Cellular has to lose 10-12% revenue generation from their national roaming services which amount to Rs.10,000-13,500 crore.
If the Mobile Operators increase per minute usage could lead to higher call rates as companies have to compensate for the loss of revenue. Only below 10% of all subscribers are using for roaming services and this will increase the usage of national roaming services by subscribers as they will not have to worry about the high roaming charges.
Reliance Communications and Idea Cellular recently have increased mobile tariff to meet revenue targets and profitability but they are unable to do it due to increase in operational costs and abolition of roaming fee.
Cellular Operators Association of India (COAI) announced that the loss of revenue could be lower at around Rs.5,000 crore as abolishing roaming would lead to a flow in calls and minutes of usage.