Bharti buys Stake in OneWeb to provide internet services through satellites

Bharti Airtel is the fourth largest mobile operator in the world with operations in 20 countries across Asia and Africa. The company's product offerings in India include 2G, 3G and 4G wireless services, mobile commerce, fixed line services, high-speed digital subscriber line (DSL) broadband, Internet Protocol Television (IPTV), DTH and enterprise services, including national and international long-distance services to carriers. It  has over 1.85 billion customers all over the globe.

Bharti Group acquired a strategic stake in OneWeb with initial investment of USD 500 million and plans to start services by 2019. Its global subsidiary will have representation on the Board of OneWeb. The investment would go up to USD 2.5 to 3 billion. The company wants to become a preferred distributor of telecommunication services through low orbit satellite operations. It can provide network connectivity to rural areas in India, Bangladesh, Sri Lanka and Africa. There are investors in OneWeb such as Qualcomm, Virgin Group, Airbus, Coca Cola, Intelsat and Grupo Salinas other than Bharti Group.

According to Bharti Group the plan to provide telecommunication services through satellite is cost effective as there will be no need of towers. The terminal can be set with cost of USD 250 powered by solar energy. This type of connectivity is idle for villages. The company could provide internet for all at an economical rate. The company wants to provide broadband access to all under the Digital India programme. The government school can be used to put terminals and connect rural and remote areas. The terminals can provide wireless access through Wi-Fi, 3G, 2G to surrounding areas. The high speed connectivity among the users will ensure no call drop. 

OneWeb will build a communications network through 648 low orbit satellites. The user terminals of the company will reach beyond mobile operators and internet service providers. The internet will have 10 terabits per second speed. The service will extend to new areas, health centers. It has a joint venture with Airbus Space and Defence to build the highest volume satellite production factory in the world. OneWeb also acquired more than 65 rockets from Arianspace and Virgin Galactic to launch satellites.

Earlier, Facebook and Google have already scrapped their plans to provide satellites broadband internet service. However, the strategy of Bharti is to minimise the risk over spectrum competition, overloaded and overcrowded networks though the company has highest market share in spectrum. The digital drive of the government would be faster than the national optic fibre network.