Google invested Rs 33,737 crore for a 7.7% stake in RIL's Jio Platforms

Reliance Industries Ltd (RIL) said that Google has now invested INR 33737 in Jio Platform Ltd, as it is being roped in another US technology giant after Facebook Inc. for its digital transformation unit.

Google will get around 7.73% stake in the Jio Platforms for its infusion, the Indian energy to Telecom Company said in an announcement.

Jio and Google will also jointly develop an entry-level smartphone to accelerate the path to India digitization. The announcement comes just a day after Google CEO Sundar Pichai said that the technology giant would invest $10 billion in India for digitization initiatives.

Mr. Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said, "Google has empowered millions of Indians to access helpful information and, like Jio, is a force for change and innovation. We welcome Google onboard and are excited about our partnership for what it can deliver to Indians, from universalizing Internet usage to deepening the new digital economy and providing a prime mover to India’s economic growth. Together, we hope to play a strong facilitative role in the transformative journey of building a new, Digital India."

Mr. Sundar Pichai, CEO of Google and Alphabet, said, "Reliance Industries, and Jio Platforms, in particular, deserve a good deal of credit for India’s digital transformation. The pace and scale of digital transformation in India are hugely inspiring for us and reinforces our view that building products for India first helps us build better products for users everywhere. Google is proud to invest ₹ 33,737 crores into Jio. I am excited that our joint collaboration will focus on increasing access for hundreds of millions of Indians who don’t currently own a smartphone while improving the mobile experience for all."

Google investment takes the total amount that Jio Platform has secured over the past three months to INR 152056 crore, said Reliance Chairman, Mukesh Ambani at the time of company annual shareholders meeting.

Google is the 13th investor in the Jio Platforms. Some other investors are Silver Lake, Facebook Inc, General Atlantic, Abu Dhabi Investment Authority, Vista Equity Partners, KKR, TPG, Saudi Arabia Public Investment Fund, Qualcomm Ventures, Intel Capital, Mudabala Investment Company and L Catterton.

The Google Investment values the Jio Platforms at an equity value of INR 4.36 trillion. This is lower than the INR 4.91 trillion valuations at which PE firms have invested. RIL has also announced India's homegrown 5G solution at its annual general meeting.

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