Now a days, many operators are giving SIM cards at almost no cost at all; yet, they have to spend Tk. 280 to Tk. 290 for each SIM. The question inevitably is: how can they give the SIMs at such low cost?
Once a subscriber buys a SIM, the mobile operator has to wait three months to ensure that the user dies not switch to another company. Once a buyer uses a SIM for six months, the investment of the company in the SIM is recovered.
Two types of SIM cards are available almost free, which includes the 014 series of Banglalink. On the other hand, the Grameen Phone 013 SIMs are also handed out free.
But though the SIMs are given out free, the agents do not incur any loss because they are given commissions for selling cards.
But SIM’s bought from customer care involves paying a certain amount since these contain call minutes, Internet bundle, pre load etc.
On the other hand, if free SIMs are recharged then Internet data is obtained.
All these are done to get new subscribers.
Telecommunication regulatory agency, BTRC, says, “There are no rules stating if SIMs can be sold or given out free; the issue to take into consideration is if the SIMs are being properly registered or not.
Banglalink sources say that the cost per SIM is Tk 282. Of this, SIM tax is Tk 100, agent commission Tk 160 and SIM production cost Tk 22.
Banglalink’s regulatory and corporate affairs officer, Taimur Rahman, says, “We are subsidizing the SIMs; to sustain in a competitive market, a wide range of initiatives are needed.”
Robi and Airtel also spend similar amount for their SIM cards.
When a subscriber uses the SIM for three months, a company can recover its expenses.
State owned company Teletalk offered to distribute 20 lakh SIMs among women but the offer was discontinued after ten lakh SIM cards were handed over since the network was failing to take the pressure of so many new users.