Introduction of Jio and Facebook
The company was registered in Ahmadabad (Gujarat), on 15 February 2007 as Reliance Jio Info-comm Limited.
Reliance Jio Info-comm Limited, is an Indian telecommunications company and subsidiary of Reliance Industries, headquartered in Mumbai, Maharashtra, India.
What is full name of Jio ?
JIO stands for Joint Implementation Opportunities. JIO is a Telecom network company that’s full name is Reliance Jio Infocomm Limited.
What is full form of SIM ?
SIM: Subscriber Identity Module or Subscriber Identification Module
who is CEO of Jio ?
Abhisek Pandey – Chief Executive Officer – RELIANCE JIO INFOCOMM UK LIMITED | linkedin
Facebook, Inc. is an American social media and technology company based in Menlo Park, California.
Facebook filed for an initial public offering (IPO) on February 1, 2012. The preliminary prospectus stated that the company was seeking to raise $5 billion. The document announced that the company had 845 million active monthly users and its website featured 2.7 billion daily likes and comments
Who is CEO of Facebook ?
Mark Elliot Zuckerberg is an American internet entrepreneur and philanthropist. He is known for co-founding Facebook, Inc. and serves as its chairman, chief executive officer, and controlling shareholder.
Jio and Facebook`s logos
Is there dealing social media platform with telecom company ?
Yes, you are listening a right news. There is Facebook`s biggest one time deal in India for Reliance Jio.
The world’s largest social media group facebook will pay $5.7 bn for a 10 per cent stake in Reliance’s fast-growing telecommunications and digital services business Jio, its second largest investment after the $19 bn purchase of the messaging service WhatsApp in 2014.
Shri Mukesh D. Ambani, Chairman, Reliance Industries Limited welcomes Mark Zuckerberg, founder @Facebook Inc as a long term and esteemed partner.#WithLoveFromJio #Jio #Facebook #MarkZuckerberg#MukeshAmbani #RelianceJio #JioDigitalLifehttps://t.co/RoHrxUpxZF— Reliance Jio (@reliancejio) April 22, 2020
For now, investors seem enthused about the mega deal between Facebook Inc. and Jio Platforms Ltd and its implications for India’s telecom industry.
Facebook’s biggest investment since its takeover of WhatsApp could empower new combatant in e-commerce war raging between Amazon & Walmart’s Flipkart.
Jio-Facebook deal to send shock-waves through India’s telecom industry – Formula
Ambani said that the investment cycle for telecom was complete and the company was adding over 10 million new customers every month. Jio added 370 million customers in just three years of operations until December.
- “We expect this announcement will send shock-waves through the Indian telecom industry. Up to now Bharti and Vodafone Idea have been able to promote their openness as key differentiators versus Jio more closed approach to digital services,” the US-based Bernstein in a statement said.
“The Facebook investment removes balance sheet risks and adds considerable optionality to retail, digital and internet business segments,” the US-based Bernstein also said, and added that that the parent Reliance Industries would likely to outperform with a share price of Rs 1,530.
How much stake buy Facebook from reliance Jio ?
Facebook to buy 9.99% stake in Reliance Jio platforms for $5.7 billion.
While shares of Jio’s parent, Reliance Industries Ltd, have risen by over 10%, even the stocks of Bharti Airtel Ltd and Vodafone Idea Ltd were trading higher.
Switzerland-based firm said that the deal with aid Reliance Industries in achieving net debt free status by March 2021.
After the capital gains and income tax, the final realisation from the deal will be roughly Rs 38,000 crore, according to experts. “It will be almost the same as the investment that RIL made to create the asset, without any premium,” a tax expert said.
Facebook invests Rs 43,574 Cr in Reliance Jio for 9.99% stake and becomes largest minority shareholder.
“Facebook investment will accelerate Jio’s digital monetisation drive, and the partnership will leverage WhatsApp for new commerce initiative,” Credit Suisse said.
Investing in Jio “gives Facebook a little bit of muscle when it comes to policy issues”, said Satish Meena, an analyst at Forrester Research.
Having said all this, it is clear that expecting tariff hikes anytime soon is foolhardy. With the economic impact of the lock-downs looming large, it’s unlikely the government will support any plans by tel-cos to raise tariffs in the near future. “We do note that the likelihood of further tariff hikes in 2020 will likely reduce,” Jefferies added.
“Working with the government is going to be much easier when they have Reliance as a partner.”
Is Jio-Facebook deal to upset Airtel and Vodafone Idea plans ?
Is the Jio-Facebook deal bad news for Bharti Airtel and Vodafone Idea?
Let`s see all research about other telecom companies will suffer impact of this huge deal of biggest two brand.
The investment by Facebook into Mukeshbhai Ambani’s Reliance Jio platform is expected send shock waves through the Indian telecom industry, which could impact Airtel and Vodafone Idea.
“Data is the new wealth,” Mr Ambani, the chairman of the sprawling oil-to-retail conglomerate Reliance Industries, said at a business summit in Gujarat. “India’s data must be controlled and owned by Indian people and not by corporates, especially global corporations.”
“Up to now Bharti and Vodafone Idea have been able to promote their ‘openness’ as key differentiators versus Jio more closed approach to digital services. However, with WhatsApp firmly entrenched as the dominant OTT messaging platform in India, Jio will now have a channel for promoting their other digital services directly to the customers of their competitors. Moreover, over time it’s also possible to expect Jio to try to use the WhatsApp relationship to try to convert Bharti and Vodafone Idea customer to use their network. We see this as a negative development for both Bharti and Vodafone Idea,” said analysts at brokerage firm Bernstein.
However, analysts at equity research firm Jefferies said that Facebook’s $5.8 billion interest in the Indian telecom space reflects a turnaround in the sector.
India’s richest business man Mukeshbhai Ambani warned the country’s prime minister Narendrabhai Modi last year of the need to remain vigilant against a looming threat: data “colonisation” by foreign companies.
“Aggression suits a new entrant and not a market leader. If Jio cuts tariffs, it hurts itself the most. Secondly, Reliance Jio’s tariff remains at 7-20 per cent discount to that of peers and its JioPhone offering should help the company remain competitive and help subscriber additions as it has in the past. However, we do note that the likelihood of further tariff hikes in 2020 will likely reduce,” Jefferies said in a research report.
“In the near future JioMart and WhatsApp will empower nearly 30 million small Indian kirana (grocery) shops to digitally transact with every customer in their neighborhood,” our Mukeshbhai Ambani, Reliance chairman and Asia’s richest man.
JioMart, the e-commerce venture of Reliance’s retail arm, offers customers free express grocery deliveries from neighbourhood mum-and-pop stores. It is yet to be launched across India, and is likely to pose a formidable challenge to Amazon.com’s local unit and Walmart’s Flipkart, which are also betting big on groceries to grow.