The Facebook Reliance Jio collaboration will involve bringing together JioMart with WhatsApp
Facebook is making a $5.7 billion investment in Reliance Jio, translating to a 9.99% stake within the Indian mobile carrier’s operations.
Facebook spoke of the event on its corporate website where comments made by David Fischer, chief revenue officer, and Ajit Mohan, VP, and India director, stated that it’s now the carrier’s largest minority shareholder.
The statement went on to elucidate that India is experiencing “rapid adoption of digital technologies” which in past five years alone, quite 560 million people within the country have gained internet access, making India a critical and powerful player within the digital future and why numerous tech giants like Google, Alibaba, Tencent, and Amazon are infusing the company’s internet and communications sector with funds.
Reliance Jio is a component of the larger, multi-industry conglomerate Reliance Industries, which is worth an estimated $57 billion. When Reliance Jio has launched nearly four years ago, it caused an enormous shakeup in India’s telecoms hierarchy because it offered low-cost, nationwide cellular broadband service, and ultimately, provided the web for the primary time to tens of many people, directly leading to a surge of Facebook users.
Lately, Reliance Industries has been laser-focused on furthering its media and entertainment reach, investing in TV groups, and developing media content and production studios.
Reliance Jio is, of course, a superb vehicle for furthering Reliance Industries’ media involvement. At the instant, the carrier features a music streaming service JioSaavn, a live television service JioTV and a payments service JioPay, also as a minatory stake within the Bollywood distributor and streaming platform Eros International and a pending merger with STX Entertainment.
According to Facebook, a part of the collaboration will involve bringing together JioMart, Jio’s small business initiative, with WhatsApp, the social media platform’s messaging app that has become wildly popular in India.
By doing so, claimed Fischer and Mohan, Facebook can “enable people to attach with businesses, shop and ultimately purchase products during a seamless mobile experience.”
“WhatsApp is so ingrained in Indian life that it’s become a commonly used verb across many Indian languages and dialects,” they added.
In a Facebook post, the social media platform’s Co-Founder and CEO Mark Zuckerberg wrote that getting Indian people and little businesses online is “especially important immediately .”
“Small businesses are the core of each economy and that they need our support. India has quite 60 million small businesses and many people believe them for jobs,” he said. “With communities around the world in lockdown, many of those entrepreneurs need digital tools they will believe to seek out and communicate with customers and grow their businesses. this is often something we will help with.”