Subscribers need to be careful while watching videos if they have been upgraded to 5G or else there’s every likelihood that they may end up exhausting their monthly data quota at one go.
This is because 5G network completes the download even if the user cursorily watches a video for a few seconds and stops it. Further, video streaming platforms automatically play the video in an ultra high-definition (HD) resolution to improve the user experience. As a result, there has been around 70-80% increase in data consumption compared to 4G even though usage over both the networks remain the same, according to experts.
“It is not true that 5G uses more data than 4G. However, 5G users need to be cautious in terms of control over data consumption like changing the quality of video to data saver mode or a low resolution mode,” a research analyst said.
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While streaming videos over OTT apps, by default the settings related to quality of video is set at ‘auto’ which adjusts itself based on the availability of the network. Also, owing to a faster download speed and low latency, users tend to consume more data, according to analysts. Recently, a few users also complained of faster data exhaustion in 5G compared to 4G.
The top two telecom operators Reliance Jio and Bharti Airtel are currently offering 5G services in parts of the country on the 4G plans of users. While Jio is giving an unlimited 5G data over the 4G recharge plans of Rs 230, for Airtel users there is a daily data limit based on their data plans.
“With 5G, the data usage will increase, and users could initially end up paying unnecessarily for the services unless they use 5G creatively,” said Mahesh Uppal, director at Com First (India), a telecom policy consulting organisation.
According to Uppal, speed of 5G penetration in the country will depend on the creativity of both users and telcos. Users will want the functionality of 5G at a price that they can justify. If they don’t get both, they will be forced to stick to 4G which is widely available at reasonable prices. 5G operators will therefore need quite different approaches while offering 5G to businesses and retail users.
“In euphoria, people will buy 5G but ultimately when its settles down, our usage will depend on the advantages which 5G will give to us,” said SP Kochhar, director general of Cellular Operators Association of India (COAI) in a recent interaction. According to Kochhar, while gaming or scientific community will drive the use case of 5G but ultimately maximum revenues will come from the enterprise side.
Lately, telecom companies have been banking on data monetisation in order to drive their average revenue per user (Arpu). According to some analysts, an increased data consumption with 5G over the 4G plans may give some boost to the average revenue per user in absence of tariff hikes.
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Data monetisation means users buying extra data on any day within the plan cycle on exhaustion of limit. “Data monetisation shows increase in usage of data by the people and that would help drive ARPUs but a meaningful increase would come only with a tariff hike,” a Mumbai-based analyst said.
In the July-September quarter, the average data usage per user for the three telecom players rose 5.4% quarter-on-quarter (q-o-q) to 19.4 GB per month. Led by a higher data usage, the average Arpu for the three telecom operators rose 2.5% q-o-q to Rs 166.
