Hughes will hold a 67% stake in the joint venture, while Airtel will hold 33%.
Hughes Communications India Private Ltd (HCIPL) and Bharti Airtel, Indias communications solutions provider, have formed a joint venture to provide satellite broadband services in India.
The joint venture, HCIPL, will combine the Very Small Aperture Terminal (VSAT) businesses of both companies to offer enterprise networking solutions using satellite 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.
Commenting on the partnership, Partho Banerjee, President and Managing Director, HCIPL, said: “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. Combining the proven capabilities of both Hughes and Airtel, the partnership will bring synergies to the forefront including multi-orbit solutions for the benefit of customers across the length and breadth of India.”
Ajay Chitkara, Director and Chief Executive Officer, Airtel Business, added: “We, at Airtel, are focused on supporting and accelerating the digital transformation journeys of our customers through an integrated solutions portfolio. 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.”
Now serving Airtel VSAT customers, HCIPL has a combined base of over 200,000 VSATs. 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.
