However Google has did its biggest move in India as the company is going to invest Rs 33,737 crore in Mukesh Ambani owned Reliance Industries' telecom and digital arm Jio Platforms announced during latest AGM meet of RIL. The investment translates into 7.7% stake sale of Jio Platforms to Google. The strategic investment by Google would be directed to making affordable, entry level 4G (and in future 5G) Android smartphones to support device ecosystem for Jio's indigenous 5G technology.
The Google-Jio handsake is win-win for all - both companies, consumers and Indian government. It can usher 'Make in India' initiative of Govt of India. Reliance can create stronger ecosystem for its own digital platform and as 5G goes mainstream with cheap devices entry barrier will be demolished, Google backed Android ecosystem will be stronger.
Back in 2016 when Jio went for commerical launch, they had brought their own devices under Lyf brand. These smartphones were similar to rebranded Chinese smartphones from Indian handset makers like Micromax and Lava. That time there were few handsets supporting 4G and most of them supports only 4G data (no VoLTE), and Jio has to bring an app called Jio4GVoice to call via 4G (as Jio has no 2G/3G network). That void was superbly filled in by Chinese OEMs like Xiaomi, Oppo, Vivo and Huawei with their affordable 4G smartphones and they dethorned the Indian handset makers very soon. Lyf phones were short-lived and Jio didn't bother to stick to 'Lyf' as ecosystem built up.
Later Jio launched JioPhone to replace Indians' love for basic feature phones. Plus Jio wants to take a pie from 2G users. JioPhone is not a completely failure but it didn't meet the hype around it, though it had 100 million sale.
JioPhones run on KaiOS, an mobile operatering system based on 'Boot to Gecko' or B2G OS. B2G OS is a forked version of Mozilla's Firefox OS. Both Google and Reliance have invested in Hong Kong based KaiOS Technologies.
As the mobile technology is growing up, the OEMs are feeling the pressure to continue R＆D to bring everything on board, from fastest processor, best graphics, more storage, top notch camera, longer battery life to smoothest screen, faster charging, regular software updates.
To bring 2G users to 4G and eventually to 5G, the price barrier is to be broken, in two fronts - devices and service cost. Jio will take care of service cost - their 5G upgrade will be mostly on software work-up, but devices... it's not easy. Hence Jio brought Google, the parent company behind Android to make cheap 5G handsets for price-conscious Indian people. Google's Android Go platform is already here to support low-end smartphones, and we might see a fork of Android Go for these purpose. We can also note about Redmi Go, the similar approach to entry level smartphones by Xiaomi.
Ultra cheap 5G smartphones (not just 5G feature phone) can be a game changer for 5G, and that could be the end of 2G in the world.
We saw the growth of 4G/LTE technology and its mass adoption so fast, that it is considered as most accelerated mobile technology. Analysts believe 5G will overdo 4G despite the global financial slowdown due to CoVID-19 pandemic & US-China geopolitical ＆ trade dispute.
So Google's decision to invest in Jio does not come as surprise. It is very well calculated decision.
List of investments in Jio Platforms:
JioPhones run on KaiOS, an mobile operatering system based on 'Boot to Gecko' or B2G OS. B2G OS is a forked version of Mozilla's Firefox OS. Both Google and Reliance have invested in Hong Kong based KaiOS Technologies.
As the mobile technology is growing up, the OEMs are feeling the pressure to continue R＆D to bring everything on board, from fastest processor, best graphics, more storage, top notch camera, longer battery life to smoothest screen, faster charging, regular software updates.
To bring 2G users to 4G and eventually to 5G, the price barrier is to be broken, in two fronts - devices and service cost. Jio will take care of service cost - their 5G upgrade will be mostly on software work-up, but devices... it's not easy. Hence Jio brought Google, the parent company behind Android to make cheap 5G handsets for price-conscious Indian people. Google's Android Go platform is already here to support low-end smartphones, and we might see a fork of Android Go for these purpose. We can also note about Redmi Go, the similar approach to entry level smartphones by Xiaomi.
Ultra cheap 5G smartphones (not just 5G feature phone) can be a game changer for 5G, and that could be the end of 2G in the world.
We saw the growth of 4G/LTE technology and its mass adoption so fast, that it is considered as most accelerated mobile technology. Analysts believe 5G will overdo 4G despite the global financial slowdown due to CoVID-19 pandemic & US-China geopolitical ＆ trade dispute.
So Google's decision to invest in Jio does not come as surprise. It is very well calculated decision.
List of investments in Jio Platforms:
|
No.
|
Date
|
Company
|
Investment
|
Stakes Acquired
|
|
1
|
April 21 ‘20
|
Facebook (US)
|
Rs 43, 574 Cr
|
9.9%
|
|
2
|
May 4
|
SilverLake (US)
|
Rs 5,655.75 Cr
|
1.15%
|
|
3
|
May 8
|
Vista Equity (US)
|
Rs 11,367 Cr
|
2.32%
|
|
4
|
May 17
|
General Atlantic
Partners (US)
|
Rs 6598.38 Cr
|
1.34%
|
|
5
|
May 22
|
KKR ＆ Co. (US)
|
Rs 11,367 Cr
|
2.32%
|
|
6
|
June 4
|
Mubadala Investment
Co
|
Rs 9,093.60 Cr
|
1.85%
|
|
7
|
June 7
|
Abu Dhabi
Investment Fund (ADIF)
|
Rs 5683.50 Cr
|
1.16%
|
|
8
|
June 5
|
SilverLake (US)
|
Rs 4,546.80 Cr
|
0.93%
|
|
9
|
June 13
|
TPG (US)
|
Rs 4,546.80 Cr
|
0.93%
|
|
10
|
June 13
|
L Catterton (US)
|
Rs1,894.50 Cr
|
0.39%
|
|
11
|
June 18
|
Public Investment
Fund (Saudi Arabia)
|
Rs 11,367 Cr
|
2.32%
|
|
12
|
July 02
|
Intel Capital (US)
|
Rs 1894.5 Cr
|
0.39%
|
|
13
|
July 13
|
Qualcomm Ventures
|
Rs 730 Cr
|
0.15%
|
|
14
|
July 15
|
Google/Alphabet Inc
|
Rs 33,737 Cr
|
7.7%
|
| May 20 to June 3rd | RIL Rights Issue | Rs 53,124.20 Cr |
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