-1 C
London
Friday, December 9, 2022

Joint venture between Jio and SES for satellite broadband services

SES, a global provider of satellite-based content connectivity solutions, and Reliance Jio have entered into a joint venture. The new joint venture (JV) will be called Jio Space Technology Limited (JSTL).

Jio and SES intend to offer next-generation satellite broadband services in India with this new venture. With 51% of the new joint venture owned by Jio Platforms Limited, and SES holding 49%, Jio Platforms Limited will be the majority shareholder and control the joint venture.

This new joint venture will leverage the geostationary (GEO) and medium earth orbit (MEO) satellite constellations capable of delivering multi-gigabit links and capacity to the enterprises, retail customers, and mobile backhaul across India and its neighbouring regions.

Jio Has Entered Multi-Year Capacity Purchase Agreement

SES’s satellite data and connectivity services will be provided by Reliance Jio in India through this joint venture. Select maritime and aeronautical international customers may be serviced by SES. Through the JV, Jio will benefit from its deep sales reach and brand recognition in India, and SES will be able to provide up to 100 Gbps in capacity.

JSTL will build and set up an extensive gateway infrastructure in India for satellite-based broadband services. With this joint venture, Jio has entered into a long-term capacity purchase agreement, which will be based on certain milestones. There will also be equipment and gateway purchases from Jio, which will approximately be around US $100 million.

This JV from Jio will compete with the one that Bharti Airtel and Hughes have formed. Earlier this year, Airtel and Hughes announced that they are partnering to bring a new JV to satellite broadband services JV in India — HCIPL.

Akash Ambani, Director of Jio, said satellite communications would be helpful in providing connectivity in the country’s remotest towns, villages, and enterprises. This will be a boost to Jio’s fibre connectivity services

Latest news
Related news