Hughes and Airtel form JV for satellite broadband services
Hughes and Airtel form joint venture HCIPL to provide satellite broadband services in India, the companies said Wednesday.
The combined India VSAT operations of both companies will offer range of satellite and hybrid network solutions to business and government customers.
HCIPL combines the Very Small Aperture Terminal (VSAT) businesses of both companies to offer flexible and scalable enterprise networking solutions using satellite connectivity for primary transport, back-up and hybrid implementation.
The agreement, announced in May 2019, has received all statutory approvals, including those from the National Company Law Tribunal (NCLT) and Department of Telecom (Government of India) and the joint venture has been formed.
“We are pleased to commence this joint venture, further delivering on our commitment to serve the growing demand for always on, always available network connectivity for enterprise and government customers,” said Partho Banerjee, president and managing director, HCIPL.
The partnership will bring synergies to the forefront, including multi-orbit solutions, for the benefit of customers across the length and breadth of India, he added.
Ajay Chitkara, director and chief executive officer, Airtel Business, said: “With the combined capabilities of Airtel and Hughes, customers will get access to next generation satellite connectivity backed by proven enterprise grade security and service support.”
HCIPL has a combined base of over 200,000 VSATs including Airtel VSAT customers, the company is the largest satellite service operator in India, well positioned amid the changing regulatory environment to serve the emerging connectivity requirements of business and government customers with an enhanced product portfolio and operational efficiencies.
HCIPL provides broadband networking technologies, solutions and services, including a full range of managed network services, for government offices and enterprises across segments like banking, aeronautical and maritime mobility, small to medium sized businesses, education, and telecom backhaul, among others.
Bharti Airtel stock fell in opening trade by 0.58% to Rs 693.15 on the Bombay Stock Exchange on Wednesday.