Qualcomm Ventures invests $97m in India’s Jio Platforms

Reliance Industries announced the transaction in a statement. External capital committed to the seven-month-old company is expected to total INR1.1 trillion ($15.6 billion) with the 12 investors set to collectively own more than one-quarter of the business. 

Jio Platforms is the parent of India's Reliance Jio Telecom, the country’s leading mobile carrier which claims to have more than 387.5 million subscribers. Reliance Industries has positioned Jio Platforms’ app ecosystem as a gateway to the internet for first-time users of mobile internet services.

The offering includes video conferencing app JioMeet, music streaming platform JioSaavn, on-demand movie streaming platform JioCinema, daily goods-themed e-commerce platform JioMart, and cloud storage app JioCloud. They work as mini-apps within the MyJio super app – which is primarily used by Jio Telecom prepaid subscribers to increase the stored value within their account so they can continue to stay connected – and are also available separately. The app ecosystem concept is comparable to those of Indonesia’s Gojek or China’s WeChat. 

Meanwhile, other subsidiaries are working to expand the company’s presence in broadband services, cable television, and e-commerce as well. It is expected that Jio Platforms will offer a bundled package accessible to Indians currently priced out from high-speed internet and streaming-related content services. At the same time, a network of Jio-branded convenience stores is expected to fulfill online orders on JioMart with inventory supplied by Jio-owned warehouses.

Qualcomm Ventures, the corporate venture arm of the US semiconductor manufacturer, has been investing in India since 2008. It launched a $150 million India VC fund in 2015. Portfolio companies include scooter rental start-up Bounce, agricultural industry sales platform Ninjacart and last-mile delivery and logistics start-up Shadowfax. Last year, Qualcomm Ventures exited local language software platform Reverie Technologies when a Reliance Industries-owned investment unit acquired a majority stake.     

Several media reports in recent months have indicated that Jio Platforms will pursue a US listing next year with a target valuation of $90-95 billion.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• South Asia
• Technology
• Expansion
• Reliance Strategic Business Ventures Limited
• Qualcomm Ventures
• India
• Growth capital
• TMT