From day 1 it was Jio’s dream to provide affordable 4G devices to more than 300 million users in India. It is also true because they developed a JIO Phone and launched on 21st July 2017. With the intention that most people use it.
It still remains the most affordable 4G phone in the world. They sold 100 million Jio phones to date.
There are many users (feature phone) waiting to upgrade to conventional phones. The main reason behind it is smartphones are expensive and users are waiting for more affordable prices or phones.
Reliance quoted that they believe that they can design entry-level 4G phone and even 5G phones for a fraction of its current cost.
So they decided to build a partnership with none other than GOOGLE.
To build a value engineered android based smart phone operating system.
Through this partnership, we hope that they accomplish a national mission of putting a smart device in the hands of maximum Indians. So they also said that they are making India 2G mukt.
Why Google partnered with Jio?
The biggest part of google mission is that they can reach max to max people. Smart devices in the hands of more people are one step closure to google’s mission.
Google will invest Rs 33,737 cr in Jio platforms. The US giant a company needs no introduction will pick up a stake of 7.7% in Jio platforms.
This announcement was made on first-ever virtual annual general meeting of RIL. this is not only a financial but also a strategic investment.
This deal, Jio platform has secured 4 strategic compliance with Facebook, Apple, Netflix, Google (FANG). On April 22nd facebook picked up 9.99% stake for an investment of Rs 43,574 cr. a total of 14 investments have been made in Jio platforms. The total fund is raised is 152056 cr. the cumulative capital raised Rs 2,12,809 cr unprecedented in the history of capital market in India. Largest continuous fundraised by any company in the world.
These investments made Jio net debt-free months ahead of the target set for March 2021. Reliance is the first Indian company to have crossed the market capitalisation of $150 billion.
Other than Google and Facebook, the eleven different financial specialists incorporate Qualcomm adventures, Intel Capital, Abu Dhabi’s two biggest sovereign venture arms – Abu Dhabi Investment Authority and Mubadala, private value firms Silver Lake (which put resources into two tranches), Vista Equity Partners, General Atlantic, KKR, TPG, L Catterton and Saudi Arabia’s Public Investment Fund (PIF), have put resources into Jio Platforms.
The ventures and a Rs 53,124-crore rights issue has helped RIL pare obligation and in June the combination said it was sans obligation. Jio will be debt-free.
META DATA: Google’s new investment with Jio (RIL). RIL 45th AGM. RIL soon become debt-free with the investment received by Google $58 million.