Telstra is increasing the pricing of its postpaid and prepaid mobile pricing plans two months after removing its annual CPI-linked pricing review policies, a decision it says is required to fund further technology improvements to meet demand across its network.

Effective from 27 August and 22 October 2024 respectively, the changes will result in a price increase on most Telstra mobile plans by between $2-$4 per month.

Telstra announced on 21 May 2024 that it would not be increasing prices in July as it updated its customer terms for its Consumer and Small Business postpaid mobile plans to remove the CPI-linked annual price review. As part of these changes, Telstra will increase the data allowance on its postpaid Starter Plan while keeping its price the same.

In an ASX statement, the telco said the price changes are a result of balancing cost of living pressures with the need to continue to invest in technology evolution and manage soaring customer demand across its mobile network.

According to Telstra, network traffic on its mobile network has increased by approximately 3.5x over the past five years and continues to grow by 20 percent per annum. Over the five years to end FY24, Telstra invested $1.3 billion in mobile spectrum, to ensure additional capacity to support more data, faster speeds, and a more consistent experience for customers.

"In making these price changes, Telstra has balanced cost of living pressures it knows some of its customers are experiencing, with its need to continue to invest to manage technology evolution and continued strong customer demand on its mobile network," the telco stated.