Reliance Industries
is entering in Africa's mobile broadband market. According to a report in Bloomberg, "Asia’s richest man
Mukesh Ambani
is set to enter Africa with a telecoms venture, seeking to win mobile broadband customers in a high-growth market. Radisys Corp, a unit of Ambani-controlled Reliance Industries Ltd, will provide key network infrastructure, applications and smartphones for Ghana-based Next-Gen InfraCo, according to Harkirit Singh, the executive director of
NGIC
."
Singh reportedly described the plans ahead of NGIC’s launch announcement in Mumbai later toady (May 27).
NGIC, launching later this year, will offer 5G infrastructure to other operators and internet providers in Ghana. The company focuses on "affordable digital services in emerging markets" and boasts a strong team. This includes Reliance subsidiary Radisys Corp. providing network equipment, applications, and devices, alongside tech giants Nokia, Microsoft, and Indian outsourcer Tech Mahindra.
Ghana, a West African country with a population of just over 33 million, has three main operators: MTN Ghana,
Vodafone
Ghana and state-run AirtelTigo. NGIC’s strategic partners, its technological prowess and the company’s possession of Ghana’s only 5G license will help it build broadband services at scale, a huge expense for individual mobile carriers, Singh told Bloomberg.
The venture is modeled after the success of Ambani's Jio Infocomm in India. Jio revolutionized the Indian mobile market with low-cost data and free voice calls, making mobile data accessible for millions. NGIC hopes to replicate this success in Ghana, offering affordable mobile broadband and devices.
This partnership also holds diplomatic significance for India, seen as a counter to China's growing influence in Africa through digital initiatives.
While Reliance and other strategic partners currently don't own any shares in NGIC, they have the option to convert future payments into equity. Singh, NGIC's executive director, emphasized proving their value before bringing partners on board.