Amazon plans to buy $2 billion worth stake from Bharti Airtel

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Amazon plans to buy $2 billion worth stake from Bharti Airtel

Amazon Plans to Buy $2 billion Worth Stake from Bharti Airtel

Image Source: Reuters

Amazon plans to buy $2 billion worth stake from Bharti Airtel. Tech giants eye on Indian telecom sectors. After Facebook and Google, now Amazon in talks to buy $2 billion worth stake from Airtel.

Amazon.com is in its preliminary talks to buy stakes from Indian based telecom provider Bharti Airtel. Other tech giants also are moving into investments with Indian telecom sectors. Facebook already revealed its investment into Reliance Jio. Google has already been in discussion due to its investment plans with Vodafone. This could be a boost to the Indian economy as well as a transformation to the digital era.

The planned investment, if completed, would mean Amazon acquiring a roughly 5% stake based on the current market value of Bharti and would give India’s third-largest telecoms company a boost as it seeks to compete against the number one player Reliance Jio.

“Jio has transformed itself from a pure mobile operator to a digital technology-led consumer-facing platform, and Airtel can do the same,” said one of the people.

“Airtel is looking to play a catch-up game here, and for Amazon, it makes all the strategic directional sense for the India business.”

Amazon had been mulling several investment options, including buying a stake worth up to 8-10%, a second person said.

News Source: Reuters

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