The Facebook–Jio Merger

Thursday, 21 January 2021



The Facebook–Jio Merger

Sidharth Bedi Varma | May 02, 2020 14:38 hrs

In India, Jio has more than 370 million subscribers, WhatsApp has 400 million active users and Facebook has around 350 million users. This partnership showcases one of the strongest ‘user capital’ acquisitions in the telecom and technology industry over the world.

With a lot of questions around Facebook’s and Reliance Jio’s data breach and privacy concerns, it is natural to be skeptical about this merger. However, this opens up a bridge of avenues for the Indian market and in times of such crisis, an optimistic perspective wouldn’t hurt.

E-commerce with JioMart, online payments and the Digital-India mission, online gaming, video on demand, VR and AR experiences are all fields that will get a massive push in the coming months. WhatsApp, of course being a country staple, is likely to make large software solutions redundant and business further personalized. 

And this means three cheers for Mukesh Ambani! The Jio group will continue to have market dominance in the months to come. 

Citizens adapting to an ever changing would be the key. People surviving on rental income might have to look at alternative solutions. Large corporates would perhaps look at ‘breaking market rates’ by not accepting skyrocketing real estate prices, but hit reset and start from the bottom.

Real Estate would move from a physical space to online, and the players with most user capital would have a headstart in this race. And so, Jio’s continued dominance. 
But with the lockdown now extended by another 2 weeks, there is an important takeaway.

Grocery store workers/kirane ki dukaan, drivers/deliverymen, fast food workers, sanitation workers have proven to be invaluable assets and with partnerships between giants such as Facebook and Reliance, these assets will become indispensable.  

Imagine if these industries would have lapsed. The coming months would only sustain hard and honest working people, and India should learn to stop judging people based on designations and earnings. Every contribution matters.

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