Airtel Unlimited 5G: Is unlimited just a marketing term? What we found and what experts say

Airtel’s Unlimited 5G benefit recently made headlines after reports claimed that users cannot share their unlimited 5G data through a mobile hotspot and that it has a hidden 300GB usage limit. These claims quickly went viral on social media, with many people questioning whether a plan advertised as “unlimited” should have such restrictions. However, we could not find any official Airtel terms and conditions mentioning a hotspot restriction or a 300GB data cap. We also tested Airtel’s Unlimited 5G claim, and our experience was different from what the reports claimed. We have also reached out to Airtel for a comment, and will update the story if the company reponds. Well, the debate has raised a bigger question: What does “unlimited” really mean, and should telecom companies clearly explain any restrictions before people buy a plan?

Our testing: Unlimited 5G worked over hotspot

To understand the reports better, we tested Airtel’s Unlimited 5G benefit on an eligible prepaid plan. When the phone was connected to Airtel’s 5G network, we shared the internet to another phone using a mobile hotspot. During our testing, the data used on the other phone was not deducted from the plan’s regular daily data limit. So, we can say that the Unlimited 5G benefit was working.

But, when the phone switched to Airtel’s 4G network, the hotspot usage started using the regular prepaid data balance. This is expected because Airtel’s Unlimited 5G benefit is available only while the phone is connected to the 5G network.

Do note that our test does not represent every Airtel plan, device or region. 

Why has this become a debate?

The discussion is not only about Airtel. It has also brought attention to how telecom companies market “unlimited” plans. Faisal Kawoosa, founder and chief analyst at Techarc, says Fair Usage Policies (FUPs) have existed in telecom plans for years. “It has been a common practice in telecom circles to implement an FUP or Fair Usage Policy even in ‘unlimited’ plans. So, in effect, nothing is really unlimited,” he told Digit.

According to him, operators usually offer high-speed data up to a certain limit. After that, speeds may be reduced. Kawoosa believes telecom operators should not market plans as “unlimited” if they come with usage limits.

Nikhil Pahwa, founder and editor of MediaNama, also believes the word “unlimited” should not be used if there are restrictions. According to him, if customers cannot freely use their data through features like hotspot sharing, the plan cannot truly be described as unlimited.

Are these restrictions common?

Kawoosa said high-usage limits are common in the telecom industry. Many operators use Fair Usage Policies to manage their networks. Meanwhile, Pahwa said he has not come across hotspot restrictions before, but he believes customers should be able to use the data they pay for on their phone, laptop or tablet.

Do note that our own testing did not find hotspot sharing to be blocked on Airtel’s Unlimited 5G prepaid plan. This makes it even more important for Airtel to clarify whether the reported restriction exists, whether it applies only to certain plans, or whether it is no longer in effect.

Customers should be clearly informed

The experts also believe telecom companies should clearly explain any important conditions before customers recharge their plans. Kawoosa said many users may not notice these details because they are often buried in long terms and conditions. “They are not prominently disclosed to any subscriber at the time of signup,” he said.

“Even the existing subscribers are mostly unaware of such changes which are brought in after subscribing to a plan. Also, consumers don’t have any choice but to accept them without having the real liberty of a real consent,” Kawoosa added.

Why would a telecom company do this

Kawoosa said one possible reason is to stop multiple people from sharing one mobile connection through a hotspot instead of buying separate mobile plans or a home broadband connection.

While Airtel has not responded to our queries, the company has said that it never blocked customers from using Unlimited 5G through a mobile hotspot, as per media reports. According to those reports, the company said that a 300GB monthly usage limit is in place to prevent commercial misuse of the service.

Takeaway

Our testing did not find the reported hotspot restriction, but it also does not settle the debate. The real issue is whether telecom companies clearly explain any conditions attached to plans marketed as “unlimited.” If limits exist, customers should know about them upfront instead of finding about them later. Clear communication is just as important as the data benefits themselves.