Jio Platforms Limited and SES, a satellite-based connectivity solutions provider, announced the joint venture – Jio Space Technology Limited – to deliver the next generation scalable and affordable broadband services in India.
JPL and SES will own 51% and 49% 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 length and breadth of India and neighbouring regions.
According to Jio, the joint venture will drive satellite-based data and communication services in India, except for certain international aeronautical and maritime customers who may be served by SES.
Jio claims internet speeds could be up to 100 Gbps. The company said that the partnership will bolster the development of extensive gateway infrastructure in India to provide services within the country.
The press release says Jio has entered into a multi-year capacity purchase agreement – with a total contract value of $100 million.
“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,” Akash Ambani, director of Jio said in a press statement.
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, he added.