Jio Platforms Limited (JPL) and SES, a satellite-based content connectivity solutions provider, on Monday announced the formation of a joint venture – Jio Space Technology Limited to deliver broadband services through satellite technology.
JPL and SES will own 51 per cent and 49 per cent equity stake in the joint venture, respectively. The joint venture will use multi-orbit space networks that is a combination of geostationary (GEO) and medium earth orbit (MEO) satellite constellations capable of delivering multi-gigabit links and capacity to enterprises, mobile backhaul and retail customers across the country and neighbouring regions.
Capacity, investment plan
The joint venture will be the vehicle for providing SES’s satellite data and connectivity services in India, except for certain international aeronautical and maritime customers who may be served by SES. A capacity of 100 Gbps will be made available from SES and Jio’s market position and sales reach in India will be leveraged to unlock this market opportunity, according to the press note.
As part of the investment plan, the joint venture will develop extensive gateway infrastructure in India to provide services within the country. Jio, as an anchor customer of the joint venture, has entered into a multi-year capacity purchase agreement, based on certain milestones along with gateways and equipment purchase with total contract value of $100 million.
The joint venture will leverage SES-12, SES’s high-throughput GEO satellite serving India, and O3b mPOWER, SES’s MEO constellation, to extend and complement Jio’s terrestrial network, increasing access to digital services and applications. Jio will offer managed services and gateway infrastructure operations services to the joint venture.
Akash Ambani, Director of Jio, said, “While we continue to expand our fibre-based connectivity and FTTH business and invest in 5G, this new joint venture with SES will further accelerate the growth of multigigabit broadband. With additional coverage and capacity offered by satellite communications services, Jio will be able to connect the remotest towns and villages, enterprises, government establishments, and consumers to the new Digital India.”
Steve Collar, CEO of SES, said, “This joint venture with JPL is a great example of how SES can complement even the most extensive terrestrial networks to deliver high-quality connectivity, and positively affect the lives of hundreds of millions of people.”
Published on
February 14, 2022
