Facebook invests $5.7 billion in India’s Reliance Jio to enable people connect with small businesses
Facebook today announced that it investing $5.67 billion(₹43,574 crores) into India’s largest mobile data network, Reliance Jio, for a 9.99% stake in the company. The investment is Facebook’s biggest investment in India to date.
The social media giant said it would focus on collaborating its messaging platform WhatsApp with Reliance’s e-commerce venture JioMart to enable people to connect with businesses, shops and purchase products. Last month, Financial Times reported that social media giant was in talks for a 10% stake in Jio but the talks were halted due to global travel bans amid the coronavirus pandemic.
In a blog post Facebook said, “Today we are announcing a $5.7 billion, or INR 43,574 crore, investment in Jio Platforms Limited, part of Reliance Industries Limited, making Facebook its largest minority shareholder. This investment underscores our commitment to India, and our excitement for the dramatic transformation that Jio has spurred in the country. In less than four years, Jio has brought more than 388 million people online, fueling the creation of innovative new enterprises and connecting people in new ways. We are committed to connecting more people in India together with Jio.”
Founded in 2013 by Mukesh Ambani, Reliance Jio is the largest 4G network in India offering high speed mobile internet access through an engaging digital ecosystem for a seamless experience. Jio is aiming to cover 90% of India’s population in the next 18-24 months.
Shri. Mukesh Ambani, Chairman, Reliance Industries Ltd. says, “Jio is about bringing people together, safely and securely. It is about inspiring people to join a movement – the digital India movement. Jio is about you and your family, friends, community and all Indians together in a movement to embrace and win in the digital world.”