A latest report shared by JM Financials reported that two major telecom companies in India Reliance Jio and Bharti Airtel are supposed to invest around Rs 75000 crore in the current financial year to strengthen their networks. JM Financials’ report on the telecom industry has left everyone curious to know more about the expected and combined investment of Rs 75000 by the two major telecom players in India. Therefore, we have come up with this article to share all the insight of JM Financials’ report on the telecom industry. The report claimed that Reliance Jio and Bharti Airtel will invest around Rs 75000 crore in the current financial year, FY24. But there is a cliche that you should learn. Keep reading this article and go through it till the end. Drag down the page.
Jio and Airtel To Invest Rs75000 Crore In FY24
The motive of investing this hefty amount is to strengthen their networks. Both telecom companies in India are the leading telecom players. According to JM Financials, Reliance Jio may invest around Rs 42,000 crore and Bharti Airtel may invest around Rs 33,000 crore in FY24. As mentioned, there is also a cliche in this investment, reportedly the investment will taper down after Reliance Jio and Bharti Airtel’s 5G network rollout target is accomplished. Take a look below and read more details.
The report stated, “Bharti’s management capex guidance implies India business capex could decline to approximately Rs200 billion (Rs20,000 crore) from FY25 (versus Rs280 billion, or Rs28,000 crore in FY23) though we continue to conservatively build in approximately Rs270 billion (Rs27,000 crore) for FY25 and Rs330 billion (Rs33,000 crore) for FY24,” According to the report, Jio’s capex may be about Rs42,163 crore in FY24, which is expected to lower in FY25 to about Rs30,000 crore. Reliance Jio has announced plans to complete the 5G network rollout throughout India by the end of this year, while Bharti Airtel is targeting to do the same by March 2024.
Reliance Jio launched Jio AirFiber last month, intended for both offices and homes. Notably, Jio AirFiber comes with lightning speed that can go up to 1.5 Gbps which is ideal for activities like high-definition video streaming, ag-free video conferencing, and online gaming. It is said that Jio AirFiber is all set to tap into over 200 million Indian households. It is expected that Jio AirFiber would be competitively priced, estimated at around Rs6,000, slightly higher due to the inclusion of a portable device unit.