Vodafone Idea (Vi) has outlined a ₹45,000 crore network investment strategy through FY29 to expand 4G coverage, strengthen 5G services and accelerate subscriber growth across India. The telecom operator reported revenue of ₹11,884 crore in the second quarter of FY27, up 6.2 percent year-on-year, while its subscriber base increased to 194.4 million as of September 2026.
According to Vodafone Idea’s November 2026 investor presentation, the company is implementing a network expansion strategy focused on restoring competitive coverage, improving customer experience and increasing average revenue per user (ARPU).
Vodafone Idea Plans ₹45,000 Crore Capex for 4G and 5G Expansion
Vodafone Idea has announced ₹45,000 crore in capital expenditure guidance for network rollout by FY29, supporting its 17-5-5 network strategy.
The strategy has three major objectives:
Restore competitive network coverage in 17 key telecom circles.
Achieve 4G coverage matching existing 2G coverage across national highways, important state highways, airports and tourist destinations in five additional circles.
Deliver a seamless 5G experience across urban markets.
Vodafone Idea aims to use these network investments to improve subscriber acquisition, strengthen retention and support revenue growth.
The company has established a three-part business strategy targeting sustained subscriber additions, double-digit revenue growth and a threefold increase in cash EBITDA over three years.
Its network expansion strategy is supported by investments in 4G capacity, 5G deployment and customer experience improvements.
Vodafone Idea 5G Network Expands to 400 Cities Across 17 Circles
Vodafone Idea’s 5G network had expanded to 400 cities and towns across 17 telecom circles by September 30, 2026.
The operator’s network infrastructure included more than 216,500 unique sites, approximately 8,030 MHz of spectrum holdings and more than 355,000 kilometres of optical fibre cable.
Its mobile network covered more than 1.2 billion people and approximately 487,000 towns and villages.
Vodafone Idea increased its 4G population coverage to 87.8 percent in Q2 FY27 from 84.4 percent in Q2 FY26, an improvement of 3.4 percentage points.
The number of towns and villages covered by its 4G network increased from 398,779 to 431,445 during the same period, representing an expansion of 32,666 locations.
The operator’s 2G population coverage remained at 91.3 percent, covering 487,173 towns and villages.
The difference between 2G and 4G coverage highlights the remaining opportunity for Vodafone Idea to expand broadband connectivity across its existing network footprint.
Vodafone Idea Expands Broadband Network to 610,521 Sites
Vodafone Idea increased its broadband sites to 610,521 in Q2 FY27 from 527,012 in Q2 FY26, representing an addition of 83,509 sites.
The company’s broadband towers increased to 213,616 from 191,096 during the same period, adding 22,520 towers.
Total unique towers increased from 198,428 to 216,560.
Vodafone Idea also added 7,291 unique towers during Q2 FY27 compared with the previous quarter, while broadband sites increased by 29,638 sequentially.
The expansion supports additional network capacity, improved 4G coverage and the ongoing deployment of 5G services.
Its optical fibre network of more than 355,000 kilometres provides infrastructure for mobile broadband connectivity and network expansion.
Vodafone Idea Subscribers Increase to 194.4 Million
Vodafone Idea reported 194.4 million mobile subscribers at the end of September 2026, compared with 193.1 million in the preceding quarter.
The operator added 1.3 million net subscribers during Q2 FY27, marking an improvement from the subscriber losses recorded in earlier quarters.
However, its total subscriber base remained below the 196.7 million reported in Q2 FY26.
The company’s 4G and 5G subscriber base increased to 131 million from 127.8 million a year earlier, representing an addition of 3.2 million subscribers.
Total data subscribers increased to 136.4 million from 134.7 million.
Postpaid subscribers increased significantly to 33.9 million from 27.9 million in Q2 FY26, adding 6 million subscribers over the year.
The company’s 4G and 5G subscriber penetration increased to 67.4 percent of its total customer base, compared with 61.4 percent a year earlier.
Vodafone Idea is focusing on converting existing 2G customers into 4G and 5G users while encouraging customers to adopt higher-value data plans.
Vodafone Idea ARPU Reaches ₹198 as Churn Stands at 4 Percent
Vodafone Idea’s customer ARPU, excluding machine-to-machine connections, increased to ₹198 in Q2 FY27 from ₹180 in Q2 FY26, representing 10 percent year-on-year growth.
Customer ARPU also increased from ₹195 in Q1 FY27.
Blended ARPU, including M2M connections, reached ₹178 compared with ₹167 a year earlier and ₹177 in the previous quarter.
The company reported blended customer churn of 4 percent in Q2 FY27, compared with 4.3 percent in Q2 FY26 and 3.8 percent in Q1 FY27.
Vodafone Idea’s strategy for improving ARPU includes increasing the proportion of 4G and 5G subscribers, encouraging adoption of unlimited data plans and expanding postpaid connections.
Average monthly data consumption per 4G and 5G subscriber increased to 23 GB from 18.5 GB a year earlier.
Overall daily data traffic increased by 27.1 percent to 93.6 petabytes from 73.6 petabytes in Q2 FY26.
Vodafone Idea Revenue Rises 6.2 Percent to ₹11,884 Crore
Vodafone Idea reported revenue from operations of ₹11,884 crore in Q2 FY27, compared with ₹11,195 crore in Q2 FY26, representing 6.2 percent year-on-year growth.
Revenue also increased from ₹11,689 crore in Q1 FY27.
The company’s revenue performance reflects improvements in subscriber additions, customer ARPU and 4G/5G subscriber penetration.
| Revenue indicator | Q2 FY27 | Q2 FY26 |
| Revenue from operations | ₹11,884 crore | ₹11,195 crore |
| Customer ARPU excluding M2M | ₹198 | ₹180 |
| Blended ARPU | ₹178 | ₹167 |
| Total subscribers | 194.4 million | 196.7 million |
| 4G/5G subscribers | 131 million | 127.8 million |
| Postpaid subscribers | 33.9 million | 27.9 million |
| Blended churn | 4.0% | 4.3% |
Vodafone Idea’s longer-term strategy targets double-digit revenue growth, supported by network expansion, higher ARPU and subscriber acquisition.
Vodafone Idea Focuses on AI-Powered Network Management and Digital Services
Vodafone Idea is expanding the use of artificial intelligence across network operations, customer service and enterprise connectivity.
The operator has identified three AI-led customer experience initiatives.
Its Super Agents initiative combines generative AI and emotional intelligence to improve contact centre operations, outbound customer engagement and the Vi App experience.
Vodafone Idea is also implementing voice biometric authentication to simplify customer verification.
Its self-healing network initiative uses proactive detection and automated fixes to reduce network disruptions.
The company’s customer service digitisation programme targets a 50 percent reduction in assisted customer interactions. Vodafone Idea reported a 42 percent reduction in assisted customer complaints and a 74 percent reduction in interaction-related complaints across customer touchpoints.
In enterprise services, Vodafone Idea is focusing on private networks, AI-enabled managed Wi-Fi, hybrid SD-WAN, cloud platforms, IoT and next-generation security services.
The company plans to expand its IoT Smart Central platform with AI-based prognostics and develop enterprise connectivity services for hyperscalers and large organisations.
Its digital ecosystem includes the Vi App, Vi Movies & TV, Vi Shop, Vi Ads and Vi Finance. The Vi Movies & TV service aggregates multiple streaming platforms and more than 300 television channels.
Vodafone Idea Network and Subscriber Strategy Through FY29
Vodafone Idea’s network expansion programme will be central to its plans to increase subscribers, strengthen 4G and 5G coverage and improve revenue growth.
The operator’s ₹45,000 crore capex guidance through FY29 is linked to its target of restoring coverage parity in 17 key circles, extending 4G coverage in five additional circles and improving urban 5G connectivity.
The latest quarterly figures show that Vodafone Idea has returned to positive net subscriber additions, increased its 4G and 5G customer base to 131 million and improved customer ARPU to ₹198.
However, the company still faces the challenge of recovering its overall subscriber base from the previous year’s level while expanding 4G coverage from 87.8 percent and reducing customer churn.
Its ability to execute the planned network investments, expand 5G availability and attract higher-value subscribers will determine progress toward its double-digit revenue growth target.
BABURAJAN KIZHAKEDATH
