Reliance Jio - Leading the Digital Revolution

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In 2016, the telecom market in India flourished with the competition. Mr. Mukesh Ambani entered this established sector with Reliance Jio in 2016. Consumers were mindful of their mobile data consumption habits, their call durations, and even while messaging someone. Much water has run under the bridge since then. Jio is now the largest telecom operator in the world and has defeated competition.

There was a time when we used to wonder whether India ever be able to create a company like Google. Well, we can now ask the USA if it will ever be able to create a company like Reliance Jio. Due to the policies of globalization and liberalization, the distant dream has become a reality now. The idea of collaboration in business yields mutual benefit due to the synergies of resources, expertise, R & D.

The pandemic invited unforeseen trouble for every brand, but for Reliance Jio, the past few months, has been highly productive. The company attracted foreign investments in exchange for stakes in its promising business and vision for the future. To list down, some of the investors are Google, Facebook, Silver Lake Partners, KKR, General Atlantic, among others. Reliance Jio is now debt-free.

Earlier, Mr. Sundar Pichai, in a video call with Prime Minister Shri Narendra Modi had informed that Alphabet's Google plans to invest around $10 billion in India. The funding by Google for Jio is part of its investment plans in India.

It is interesting to note that brands like Google and Facebook have historically never seen eye to eye in the business world. But with Jio, both have become its allies and invested billions towards a single vision. It would be interesting to see the synergies and disruptions these global behemoths bring about.

As per the partnership deal, Google would build an Android Operating System to power a low-cost 4G and even 5G smartphone that Reliance would design. This will again be a game-changer in India's smartphone and telephone sector. It would also result in severe challenges for Chinese brands that continue to dominate the Indian smartphone market.

"Google is proud to invest Rs 33,737 crore into Jio. I am excited that our collaboration will focus on increasing access for hundreds of millions of Indians who don't currently own a smartphone while improving the mobile experience for all," said Mr. Sundar Pichai, CEO of Google and Alphabet. This can further be seen as a stage where telecom companies join hands with smartphone makers to design devices for specific telecom networks.

The Reliance Jio platforms have investments from global financial and technology giants like Intel and Qualcomm, which further adds weight to its ambitions. Jio has sought a spectrum in certain frequencies from the Department of Telecom for holding 5G trials in India. Jio plans to take its 5G technology to the overseas market as well. What remains to be seen is if Mr. Ambani willing to invite more strategic investments. He has already stated that his company's focus will be in line with the government's 'aatmanirbhar bharat abhiyan,' meaning self-reliant India.

With Reliance Jio, India must have set an example of Indian firms making it big in the world. Jio has just showcased the Jio Glass, a mixed reality product that is similar to Google Glass. Amazon is also looking to invest in Reliance Retail groups. It might add another feather to Jio's hat.

Reliance Jio has done what others could not think of. It entered an already cluttered market and carved a niche for itself. Mukesh Ambani has said," Data is the new oil." Now we know why he said so.

Written by - Harshit Somani

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