Reliance Industries: GTL Infra to hire out 10k towers to Reliance Jio

NEW DELHI: Reliance Jio Infocomm has signed one more deal to hire telecom towers because the Reliance Industries unit will get infrastructure able to roll out high-speed knowledge and voice communication providers a while subsequent 12 months.

Reliance Jio’s cope with GTL Infrastructure is at the least its eighth to share telecom infrastructure. Whereas the corporate is organising its personal infrastructure as effectively, renting towers to mount tools wherever doable will permit it to quicken the rollout course of and reduce launch prices. Tower corporations similar to GTL and Indus Towers hire out the identical towers to a number of telecom operators.

Whereas Reliance Jio and GTL didn’t specify particulars of the deal, an individual accustomed to the matter mentioned Reliance Jio will hire 2,000 towers by September-end and one other 8,000 over the following six to eight months. GTL has greater than 30,000 towers in complete.

“The tower leases are as per trade charge, which is roughly Rs 32,000 a slot on a tower per 30 days,” the individual added. In an announcement launched on Thursday, Sanjay Mashruwala, managing director of Reliance Jio, mentioned the corporate is on its solution to launch pan-India voice and knowledge providers, utilizing a mixture of personal and rented infrastructure.

Reliance Jio plans to lease round 70,000 towers and put up 30,000 of its personal, together with small cell websites on single poles, because it goals to launch fourthgeneration knowledge and voice providers. Credit score Suisse says it’s on observe to launch providers by March 2015.

Jio owns pan-India airwaves within the 2300 MHz band since Might 2010. Below spectrum licensing guidelines, the corporate should roll out providers by Might 2015 – that’s inside 5 years of getting the airwaves. It additionally purchased airwaves within the 1800 MHz band in a authorities public sale in February this 12 months. It plans to launch 4G knowledge providers on each bands, and second-generation voice service on the 1800 MHz band.

Charudatta Naik, group chief government at GTL’s mum or dad International Group, mentioned “the launch of 4G networks and the rise within the consumption of information providers is a progress driver for tower corporations”. GTL is powerful particularly in areas just like the Northeast and South, he added.

Mukesh Ambani’s Reliance Jio has been firming up infrastructure-sharing agreements with telecom corporations which have already got passive infrastructure in place, in a bid to hasten the tempo of its launch, decrease capital prices and keep away from duplication of infrastructure.

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