Bharti joins OneWeb, invests $500 million to buy minority stake
25 Jun 2015
Sunil Mittal-led Bharti Enterprises has a minority stake in satellite internet startup OneWeb, which plans to offer high-speed, space-based Internet access across the world.
Bharti is reported to have invested $500 million in OneWeb's Series A funding round, joining Richard Branson's London-based Virgin Group, Airbus Group, chipmaker Qualcomm Inc, Grupo Salinas, Intelsat and the Coca-Cola Company as investor in the emerging internet giant.
Bharti did not reveal details of its investment in OneWeb, but an Airtel Twitter account said ''Bharti joins OneWeb's mission to build a new global communications system to provide affordable Internet access for all.''
Airtel said it will be able to leverage the investment by becoming a preferred distributor of these services across its operations in 20 countries in Asia and Africa.
Mittal is expected will get a seat on the board of OneWeb, which plans to start off with a constellation of 648 satellites that will help provide broadband access to rural and underdeveloped locations.
Funded by Richard Branson's London-based Virgin Group and chipmaker Qualcomm Inc, OneWeb plans to develop spacecrafts which will weigh less than 300 pounds (136 kg) and be positioned in orbits roughly 750 miles (1,207 km) above the earth.
OneWeb, founded in 2012, plans to launch services by 2019.
"Access to affordable high speed internet is a powerful tool for economic development and empowerment of populations, particularly in emerging economies. OneWeb, an innovative system backed by leading global corporations, will complement the efforts of governments and telecom operators across the globe to take internet to the masses," Bharti Enterprises chairman Sunil Bharti Mittal said in a statement.
Like the Facebook-led Internet.org initiative, the OneWeb mission also aims to bring 5 billion people online in partnership with tech giants like Smasung and Qualcomm.
OneWeb satellites will provide high speed connectivity to a small user terminal which transmits broadband access via WiFi, LTE, 3G and 2G to surrounding areas.
Users will be able to access internet through these terminals. OneWeb said its terminals will connect to devices either on unlicensed frequencies, or using their partner operators' frequencies to provide coverage.
"In India, which is on the cusp of a massive data revolution, hundreds millions of consumers in rural areas will benefit from this initiative and it will boost government's Digital India programme and its vision of broadband access for all," Mittal said.
