Reliance Jio is entering the satellite broadband service in India through a joint venture with Luxembourg-based SES. The two companies will work on a constellation of satellites to provide high-speed internet connectivity to Indian consumers.
This partnership is expected to boost Jio’s sales and provide a stable backup for its mobile subscribers. Whether Jio steps into satellite broadband services remains to be seen, but the potential to expand its reach will be significant.
In recent months, Jio has been making headlines for partnering with SES, a Luxembourg-based satellite operator. In return, Jio will own a 51% stake in the joint venture.
The partnership will expand Jio’s service beyond the current four cities in India. The company plans to bring satellite internet to remote areas throughout the country. This move could help it reach out to millions of customers.
Jio also to step into Satellite Broadband Service in India
Reliance Jio Platforms Ltd. has entered a joint venture with SES to deliver next-generation broadband services to consumers. The companies plan to deliver these services to millions of households in the country.
The joint venture will enable Jio to offer 100 Gbps of bandwidth, which SES has already been providing to consumers. The joint venture will also develop a comprehensive gateway infrastructure in India, purchasing equipment worth US$ 100 million over the next few years.
The JV will manage the Gateway infrastructure and operate the satellites. The two companies said that Covid-19 has taught them that broadband is essential for full participation in the digital economy. They will also provide access to distance learning and distance health services to millions of people in India.
The Joint Venture will provide connectivity and satellite data services in the country. The companies plan to leverage Jio’s presence in the country and develop extensive gateway infrastructure in the country.
Also Read- Nokia G21 Smartphone officially Unveiled
Jio also to step into Satellite Broadband Service in India- Details
The companies are currently working on a joint venture, which will launch in India in the next few months. They also plan to offer mobile data and video services to consumers. The two companies intend to roll out a new service shortly.
It is unclear what the exact business model of Jio’s satellite unit will be. The company is reportedly aiming to lease satellite bandwidth capacity for use in their mobile network.
Another possibility is that Jio will also offer cellular backhaul connectivity through its satellite units. The services will be free and will be available to consumers in rural and semi-urban areas. The launch of the satellites is an important step forward for India’s telecom industry.
Despite the emergence of the satellite broadband industry in the country, Starlink’s debut in India is still years away. The company’s upcoming service is expected to launch in December 2022.
Jio also to step into Satellite Broadband Service in India- Approval
However, this plan is still at risk due to the lack of regulatory approval. A pre-order for Starlink’s satellite service in India has been halted and the company is refunded millions of dollars.
Reliance Jio’s satellite broadband service will be delivered via a joint venture with SES and Jio Platforms Limited. The companies will own 50% of the joint venture and will offer high-speed data services in the region.
In addition, Jio will also provide managed services and gateway infrastructure operations to its customers. The two companies have a total of 430 million broadband subscribers in the country.
In the past year, Jio has provided free Wi-Fi hotspot services in India. Today, the company offers the service in select locations in Maharashtra, Uttar Pradesh, and Uttarakhand.
The two companies have partnered in the satellite-based broadband market and have agreed to share 50 percent of the profits. The deal is expected to generate around $1 billion a year. In the future, this partnership will generate millions of jobs and expand to over one hundred satellites.
Also Read- Infinix Zero 5G Smartphone launched in India