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RCom and RJio Have Virtually Merged [ Current News (Concise) ]

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Reliance Communications (RCom) and Reliance Jio Infocomm (RJio) were virtually merged, to reduce the debt burden by upto 75 % in the next one year. Under the merger, RCom will share spectrum, network, and towers with Mukesh Ambani’s RJio.

  • Now Anil Ambani and Mukesh Ambani both will be Chairman of Reliance Industries.
  • Previously RCom and RJio signed spectrum trading and spectrum sharing agreement- sharing in 17 circles and trading in 10 circles.
  • Recently  RCom merged its business with Aircel to build a new brand –a top operator in 12 circles of India.

Debt Reduction

  • Mukesh Ambani and Anil Ambani divided Reliance Group in 2005.
  • Oil and gas, petrochemicals, refining and manufacturing went under Mukesh Ambani while electricity, telecom, and financial services came under Anil Ambani.
  • RCom set to reduce debt of ₹40,000 crore by upto 75% by next year.
  • Will announce sale of its tower portfolio soon.
  • They already have 2G, 3G and 4G spectrums so no need to spend in the upcoming auction.
  • RCom has deposited ₹230 crore with the Department of Telecommunications for the forthcoming auction.

Reliance Jio Infocomm

Image of Reliance Jio

Image of Reliance Jio

Image of Reliance Jio

  • Reliance Jio is 4G (4th Generation) telecom service provider using LTE (Long Term Evolution) Technology.
  • It was founded in 2007 by Mukesh Ambani on the 83rd birth anniversary of Dhirubhai Ambani, founder of the Reliance Industries Limited (RIL) in Navy Mumbai, Maharashtra.
  • The initial phase of 4G service was launched for 85000 employees and their families on April 2016.
  • Jio offers 4g services called broadband, along with affordable smart phones with rich content and applications.
  • The main aim of Jio is to provide unique combination of high speed data up to 1 gigabyte per second (Gbps), telecom, media, digital commerce and payment services.

About Reliance Communications

Image of Reliance Communications

Image of Reliance Communications

Image of Reliance Communications

  • An Indian Internet access and telecommunications company.
  • Headquartered in Navi Mumbai, India.
  • Founded in 2002 by Anil Ambani.
  • Provides GSM (Voice, 2G, 3G, 4G) mobile services, fixed line broadband, and voice services, and DTH (direct to home) services.
  • Is the fourth largest telecom operator in India with 98.70 million subscribers as of June 2016.

- Published on: September 28, 2016