Reliance Jio & SES team up to deliver satellite-based broadband services

Biollionaire Mukesh Ambani's Reliance Industries Limited's Jio Platforms and global Luxembourg-based satellite connectivity solutions provider, announced a joint venture on Monday to deliver broadband services across India.

Jio will own 51 per cent whereas SES will own a 49 per cent equity stake in the joint venture (JV) named Jio Space Technology Limited.

The JV will use multi-orbit space networks which is a combination of geostationary and medium earth orbit satellite constellations. SES has over 70 satellites in two different orbits providing video and data services.

It will have availability of up to 100 gbps capacity from SES and will leverage Jio’s reach in India to unlock market opportunity. “As part of the investment plan, the joint venture will develop extensive gateway infrastructure in India to provide services within the country”, Jio’s parent Reliance Industries said in an exchange filing.

Total contract value with gateways and equipment purchase is $100 million. Citing the thrust which Covid-19 has given to the digital economy, it said the JV will be a catalyst for connecting the unconnected areas within India to the full range of digital services, “offering access to remote health, government services, and distance learning opportunities”.

“We are excited about this new journey combining our massive reach and customer base with SES’s innovative leadership and expertise in the satellite industry,” Jio director Akash Ambani said.

The JV also aligns with the PM GatiShakti National Master Plan for multi-modal connectivity initiative to provide integrated and seamless connectivity.

Steve Collar, CEO of SES, said, “We look forward to this joint venture whereby we can play a role in promoting digital inclusion in India.”