New Delhi [India], November 4 (ANI): Mukesh Ambani-led Jio Platforms has held discussions with US cable companies Comcast and Charter Communications over potential deals to license its wireless broadband technology in exchange for equity stakes, Reuters reported, citing people familiar with the matter.
The discussions are part of Jio's efforts to expand its proprietary broadband technology in international markets.
The company has also held talks with South Africa's MTN Group, but the discussions broke down as the two sides could not agree on valuation and certain licensing issues, according to the Reuters report.
There is no fixed timetable for reaching an agreement with any of the companies Jio has approached. Jio did not respond to Reuters' queries, while spokespeople for Comcast and Charter declined to comment. MTN said it does not comment on market speculation.
Jio, controlled by Reliance Industries, has been signalling plans to take its wireless broadband technology to overseas markets. The system, which Reliance describes as a "global first", uses free, unlicensed Wi-Fi frequencies to deliver internet services to homes, potentially making it cheaper than traditional cable networks or mobile-based services.
The technology, known as unlicensed band radio (UBR), works without requiring cable connections to individual homes. Instead, transmitters installed on nearby towers or rooftops beam high-speed internet over Wi-Fi frequencies to receivers fitted on buildings.
Jio said last week that it was targeting 10 to 15 partners globally for the technology platform.
A potential agreement with Comcast or Charter could provide Jio an entry into the US broadband market, where cable companies are facing competition from fixed wireless and fibre services.
According to S&P Global Market Intelligence, cable companies held 62 per cent of US residential broadband connections at the end of 2024, and their dominance is expected to continue for the foreseeable future.
Comcast had around 28.3 million residential broadband customers at the end of September, while Charter had nearly 29.4 million internet customers in June. However, both companies have been losing customers to fixed wireless and fibre services.
Neil Shah, director at Hong Kong-based Counterpoint Research, said the technology could be attractive to US cable operators because it would allow them to deliver broadband services without purchasing expensive telecom spectrum.
"Telecom spectrum is a scarce resource and is expensive. UBR can be very attractive to likes of Comcast and Charter as they can deliver cellular quality broadband over spectrum they don't have to buy," he said.
Jio is India's largest telecom company, with more than 500 million subscribers. It also has nearly 15 million wired broadband users, while Reliance says its UBR-powered users have crossed 6.5 million.
The company's international expansion strategy is being co-led by Dan Bailey, former chairman of Deutsche Bank's technology, media and telecom practice, and senior executive Mathew Oommen.
The Reuters report quoted one of the people familiar with the discussions as saying, "Reliance is talking to everyone. Many players in Europe, United States."
Jio Managing Director Akash Ambani said during an analyst call on Friday that the company wants to take its UBR technology to both developed and developing markets, while remaining selective about international opportunities.
"We want to be a technology-led business there," he said.
Highlighting the potential of the US market, Ambani said 3 per cent of customers there clog up 65 per cent of the fixed wireless capacity on 5G. (ANI)
Jio in talks with US companies Comcast, Charter for technology licensing deals in exchange for equity
