Mukesh Ambani led Reliance Jio Platforms has got yet another big partner coming in. Today, Reliance announced Google is investing in its Jio Platforms a sum of Rs. 33,373 crores ($4.5 billion), for a stake of 7.7%. As per both the CEOs, Google isn’t just financially aiding Jio, but also plans to develop 5G network and supporting smartphones soon in India.
The Race for 5G
@Google and Jio are partnering to build an Operating System that could power a value engineered, entry-level 4G/5G smartphone. The Jio-Google partnership is determined to make India 2G-mukt: Mukesh Ambani at #RILAGM #NayeIndiaKaNayaJosh #Google #Jio
— Reliance Jio (@reliancejio) July 15, 2020
Though India is a big market, revenue per customer could below citing the average income of a consumer. Yet, the subcontinent is gearing up for 5G and related technologies in par with other developed nations. Thus, any firm eyeing on the Indian market could earn good, and this opportunity is given to Google by Jio.
Today, both Jio and Google have announced the latest investment round, where the latter is pumping in about $4.5 billion into the former, for a stake of a mere 7.7%. Google is the latest high-profile company investing in Jio Platforms after Facebook, Intel Capital, Qualcomm, etc have done in over a course of two months. And this step is aimed at crafting India’s 5G fate.
Huawei previously raced to dip its hand in India’s 5G market but could be waved off due to recent chaos with China. Though Huawei is so ready in building 5G infrastructure, it’s accused of security reasons by the USA and UK lately. The Chinese company is banned to interfere in US and UK 5G markets. And since India being a good friend of the US, and also considering the latest border issues with China, Huawei could be barred from entering India too!
Taking more about the Google-Jio partnership, Jio has announced to pace up its efforts to put Indian consumers in the 5G market soon. With Google’s hand in, they claimed to develop an Android-based OS to power affordable 5G smartphones in India! This development is aimed at onboarding Indian smartphone users to the latest handsets and at the same time, eliminating 2G!