Facebook, Inc. (NASDAQ:FB), Google Inc. (NASDAQ:GOOG) – Google Vs. Facebook: Tech Giants Back Rival Mobile Carriers in India
Alphabet Inc. (NASDAQ:GOOG) (NASDAQ:GOOG) google will invest up to $1 billion in India’s second-largest telecom operator Bharti AirtelTwo years later Mark Zuckerberg-LEDs Facebook – now renamed to Meta Platforms Inc‘s (NASDAQ: FB) — a mega financing in Reliance Jio Platforms.
What happened: The deal involves Google investing $700 million to buy a 1.28% stake in Airtel at a price of around $9.9 per share and also pumping up to $300 million into potential business deals. multi-year, Airtel said in a regulatory filing on Friday.
New Delhi-based Airtel said the deal will help bolster its 5G plans on smartphones across all price ranges.
It would also push the cloud ecosystem for businesses across India.
“As part of its first commercial agreement, Airtel and Google will work together to build on Airtel’s extensive offerings that cover a range of Android-enabled devices for consumers through innovative accessibility programs,” Airtel said. .
The deal, he said, also aims to reduce the “barriers to owning a smartphone in a price range, in partnership with various device manufacturers”.
Google CEO Sundar Pichai had in 2020 said the company would invest around $10 billion for the India Digitization Fund over the next five to seven years.
See also: Facebook invests $5.7 billion in one of India’s largest internet services companies
Why is this important: The investment is the latest example of growing interest in India’s 1.8 billion mobile users from US-based tech giants.
Google and Meta products – Google Search, Youtube, Facebook, Instagram, WhatsApp – are hugely popular in India, where carriers are conducting 5G trials ahead of the commercial rollout expected this year.
Meta Platforms had in 2020 invested $5.7 billion in Reliance’s Jio Platforms, the largest private telecommunications company owned by a billionaire Mukesh Ambani’s publicly traded company Reliance Industries.
Price Action: Class A shares of Alphabet closed down 0.2% at $2,580.10 per share on Thursday.
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