Mukesh Ambani's strategy that brought opponents to their knees; Reliance revolution in India expands to new country

MUMBAI: Mukesh Ambani revolutionized the telecom sector in India by launching Jio, which initially provided free 4G internet to everyone. This move caused significant setbacks for other telecom companies. As more users joined Jio, the company transitioned to offering one and a half GB of data per day for a fee. Nonetheless, the internet revolution sparked by Jio was a remarkable achievement.

Now, Mukesh Ambani's company is planning to extend this telecom revolution to Ghana, an African country. According to business media reports, a new telecom service will be launched in Ghana, with the announcement expected on Monday. Radisys Corporation, a unit of Ambani-controlled Reliance Industries Ltd, will supply network infrastructure, applications, and smartphones to Ghana-based NextGen Infraco (NGIC).

It is reported that the service will start in Ghana by the end of this year, potentially including mobile services like 5G. NextGen Infraco CEO Harkrit Singh stated that the project aims to build affordable digital services in emerging markets. Other partners of NextGen Infraco include Nokia Oyj, Tech Mahindra Ltd, and Microsoft Corporation.

Ghana, a West African country with a population of 33 million, currently has three telecom operators: MTN Ghana, Vodafone Ghana, and Airtel Tigo. These mobile operators incur significant expenses to operate in the country. With its partnership with Reliance, NGIC will be able to offer the first 5G service in Ghana, holding an exclusive license for a decade. The license granted to the company is valid for 15 years, and its capital expenditure over the next three years is projected to be $145 million.

NGIC aims to replicate Mukesh Ambani's success with Jio in India by implementing a similar strategy in Ghana. Jio launched telecom services in India in late 2016, offering low-cost data and free voice calls, which severely impacted other telecom competitors. Today, Jio is India's largest telecom operator with 470 million users.

Reliance-NGIC partnership aspires to provide affordable mobile services to the people of Ghana, emulating Jio's approach in India. This partnership is also seen as a diplomatic success for India, countering China's growing influence in African countries.