On Tuesday, Facebook made it largest single investment so far into the Indian internet giant, Jio. Facebook has partnered with Jio by investing $5.7 billion in the telecom and internet service company. This investment is the largest bet placed by Facebook on any developing market. The enormous investment also shows how technology companies are marching ahead in the global pandemic.
Facebook stated that the investment in Jio, a major cellular and internet services company, shows the commitment of Facebook towards India. The social networking giant also added that more than 388 million users in India are connected to the internet through the Jio network. Mark Zuckerberg, the Chief Executive Officer of Facebook, made an official announcement on the investment on his Facebook page. “The country is in the middle of a major digital transformation, and organizations like Jio have played a big part in getting hundreds of millions of Indian people and small businesses online,” Mark announced. “With communities around the world in lockdown, many of these entrepreneurs need digital tools they can rely on to find and communicate with customers and grow their businesses,” added Mark Zuckerberg in his post.
India is a huge market for Facebook, as more than 300 million users are on the Facebook social network, and more than 400 million people use Facebook’s global messaging service, WhatsApp. Facebook foresees great opportunities in the Indian market through its investment in Jio.
Facebook and Jio plan to enable more small businesses to connect to customers through the internet. “By bringing together JioMart, Jio’s small-business initiative, with WhatsApp, we can enable people to connect with businesses, shop and ultimately purchase products in a seamless mobile experience,” stated David Fischer, the Chief Revenue Officer of Facebook.
Facebook’s Managing Director in India, Ajit Mohan, said that millions of small business owners are already using WhatsApp to connect with customers. “How do we help them access customers and help people discover products?” said Ajit Mohan, adding that Jio offers great ways to reach them. Facebook’s investment in Jiois expected to boost telecommunications and internet services in India.