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ARTICLE · 19 JUNE 2020

Jio-Facebook Deal- Impact In India Giants Unite

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Launched in September 2016 and owned by Mr. Mukesh Ambani, Jio has spread its wings from digital money to online retail.

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THE DEAL

Launched in September 2016 and owned by Mr. Mukesh Ambani, Jio has spread its wings from digital money to online retail. Jio is a subsidiary of his Reliance Industries (RIL).

Meanwhile, for Facebook, India is the world largest user base. It is a huge market for social media platform's messaging service, Whatsapp. At 80 million users, India is seconfto the US only in terms of its photo sharing app, Instagram.

Since, it is formally announced that Reliance Industries Limited, Jio Platforms Limited and Facebook Inc had signed binding agreements for an investment of Rs 43,574 crore by Facebook into Jio Platforms. Resultant of which, Facebook will acquire a 9.99% stake in Jio Platforms. Reliance Retail and Facebook-owned Whatsapp have also entered into a commercial partnership under which Reliance Retail's Jio Mart platform will support small businesses on Whatsapp.

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