Digital services company Jio Platforms on Monday announced a joint venture with Luxembourg-based SES to provide satellite-based broadband services in India, a joint statement said.
The two companies have formed a joint venture, Jio Space Technology Limited, in which Jio Platforms (JPL) and SES will own 51 percent and 49 percent equity stake respectively.
“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.
The joint venture will use multi-orbit space networks, a combination of geostationary (GEO), and medium earth orbit (MEO) satellite constellations, Digital services company capable of delivering multi-gigabit links and capacity to enterprises, mobile backhaul and retail customers across the length and breadth of India and neighbouring regions.
“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 circa $100 million (roughly Rs. 750 crore),” according to the statement.
Jio Director Akash Ambani 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.” He further added that “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.”