R-Com, Reliance Jio sign pact on spectrum allotment

Mumbai: Mukesh Ambani-controlled telecom unit Reliance Jio Infocomm Ltd (R-Jio) and Anil Ambani-led Reliance Communications Ltd (R-Com) on Monday signed so-called Agreements for Change for spectrum allotment in the 800 MHz band across nine circles from R-Com to R-Jio, and for spectrum sharing in the 800 MHz band across 17 circles.

As part of the enhanced strategic collaboration, both companies also intend to enter into reciprocal Intra Circle Roaming (ICR) arrangements, the companies said in a joint statement.

Access to enhanced spectrum footprint in the 800 MHz band is expected to complement R-Jio’s LTE (long-term evolution) services rollout, providing increased network coverage.

R-Jio, which is yet to commercially launch its 4G VoLTE (voice over LTE) services, is expected to roll out in a phased manner, beginning from the first quarter of this year.

The spectrum arrangements between R-Jio and R-Com will result in network synergies, enhanced network capacity and optimise spectrum utilisation and capex efficiencies, R-Com said.

Both operators anticipate considerable savings in operating costs and future investment in networks. Besides R-Com’s customers will benefit from access to R-Jio’s nationwide 4G LTE network under the reciprocal sharing.

The arrangements are subject to liberalisation of R-Com’s spectrum in the 800 MHz band and obtaining requisite approvals.

Liberalisation allows spectrum in any band to be used for providing any service within the scope of respective service licenses using any technology.

Reliance Communications (RCOM)