The number of mobile internet subscribers fell by 1.31 crore in the seven months to January this year, reaching 11.60 crore, with a loss of 10 lakh in January alone.

Industry experts attribute this decline to a 50 percent increase in SIM tax, a reduction in subsidised SIM sales by operators, and economic hardships faced by consumers.

Following the tax hike, smaller operators such as Banglalink and Robi significantly reduced their subsidy expenditures, making it more challenging to attract new customers.

At the start of the fiscal year, the government raised the SIM tax by 50 percent to Tk 300.

Previously, operators often sold SIM cards at significantly lower prices or even distributed them for free to expand their customer base.

"The increased SIM tax makes it very difficult for mobile operators to subsidise SIMs as heavily as they did in the past," said Taimur Rahman, chief corporate and regulatory affairs officer of Banglalink.

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"This challenge is even greater for smaller operators, as larger telecom companies can still afford higher subsidies, creating a competitive imbalance in the market," he added.

Additionally, the ongoing economic crisis has led to a decline in the number of new customers joining or rejoining mobile networks.

Shahed Alam, chief corporate and regulatory officer of Robi, noted that the higher cost of SIM cards has discouraged consumers from acquiring multiple connections.

"This further complicates efforts to connect marginalised communities," he remarked, emphasising that rising costs have hindered access to essential communication channels.

The decline in mobile internet subscribers has already begun to impact e-commerce and online businesses, resulting in lower sales, reduced user engagement, and slowed digital adoption, according to Fahim Mashroor, CEO of Bdjobs.

"For instance, over the past year, Bdjobs has struggled to expand its user base," he said. "Internet-based businesses are already experiencing a downturn."

However, broadband subscriptions witnessed a modest increase.

Over the past seven months, broadband users grew by 5 lakh, reaching 1.40 crore.

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As of January, the total number of internet users—combining both mobile and broadband—stood at 13 crore.

However, industry insiders caution that the actual number of unique subscribers is significantly lower, as many individuals access the internet using multiple SIMs.

According to BTRC regulations, an active internet subscriber is defined as someone who has accessed the internet at least once in the past 90 days.