The sales of Jio Platforms\u2019 (JPL) end-to-end homegrown 5G stack in a $121 billion market, dominated by the incumbents Swedish Ericsson, Finland\u2019s Nokia, Chinese Huawei and ZTE, and South Korean Samsung, could drive an additional layer of growth for the Indian telecom company, said Jefferies in a research note on Thursday. <\/p>\n
JPL\u2019s indigenous fifth-generation stack comprises radio, core, and automation solutions, along with an OSS\/BSS portfolio and network services. It is seen as an alternative to the top five multinational vendors, which together control 80% share of the network infrastructure market. <\/p>\n
Over the years, multinationals have cemented their stronghold in the market by selling hardware and software as a bundle, making the stack expensive for telecom carriers, particularly in emerging markets. <\/p>\n
By contrast, the advent of 5G and open architecture \u2013 such as the Open Radio Access Network (Open RAN) \u2013 is contributing to the unbundling of the stack, and preventing vendor lock-in.<\/p>\n
\u201cGiven global 5G penetration is low, particularly in low-income markets, Jio’s 5G technology stack, which has been tested at a scale of 200 million+ subscribers, offers a strong cost-effective alternative and can drive an additional layer of growth for Jio,\u201d the New York, US-based brokerage said. <\/p>\n
The global telecom technology market — estimated at $121 billion — comprises the network infrastructure and hardware segment ($89 billion) and the software segment ($32 billion).
\nGartner expects telecom technology spending to grow at 4% compound annual growth rate (CAGR) over 2024-29, led by 7% CAGR in software, while hardware spending may grow slowly at 3% CAGR.<\/p>\n
Over the past two years, Jio Platforms has intensified its focus on technology investments, considering a 13x jump in patent filings and a 4x jump in patent grants. \u201cWith an aspiration to actively shape global connectivity standards of the future, Jio has also increased its contributions toward 3GPP standards for 5G\/6G by nearly 7x to 70 over the recent past,\u201d Jefferies said. <\/p>\n
Reliance Jio Infocomm, the country\u2019s top telecom operator, comprises the bulk of JPL’s operations. The Mukesh Ambani-led telco has deployed its homebred gear for its commercial 5G network, which presently serves over 200 million subscribers. <\/p>\n
In the quarter that ended September 30, 2025, Jio reported a 5G subscriber base of 234 million \u2013 up from 212 million at the end of June. 5G contributes 50% of its total wireless traffic.<\/p>\n
\u2018Jio enterprise value seen at $180 billion\u2019 <\/p>\n
The findings come as Jio prepares for a listing in the first half of 2026. <\/p>\n
Jio\u2019s share sale is set to be Reliance\u2019s first public offering of a major business unit since Reliance Petroleum\u2019s debut in 2006.<\/p>\n
As per a Bloomberg report on Thursday, investment bankers estimate Jio\u2019s value as high as $170 billion. <\/p>\n
Jefferies said that Reliance Jio is well-placed to deliver 18% and 21% compound annual growth rate (CAGR) in revenues and EBITDA, respectively, over FY26-28, given rising tariffs in mobile and sharp growth in the home broadband business led by fixed wireless access (FWA).<\/p>\n
\u201cGrowth is likely to remain strong, led by scale-up of the enterprise business and monetisation of tech stack,\u201d it said, raising target enterprise value (EV) and EBITDA multiple to 15x \u2013 representing a 10% premium to Bharti Airtel \u2013 on superior outlook, and rolled forward valuations to December 26, while raising EV for Jio $180-billion.<\/p>\n","protected":false},"excerpt":{"rendered":"
The sales of Jio Platforms\u2019 (JPL) end-to-end homegrown 5G stack in a $121 billion market, dominated by the incumbents Swedish Ericsson, Finland\u2019s Nokia, Chinese Huawei and ZTE, and South Korean Samsung, could drive an additional layer of growth for the Indian telecom company, said Jefferies in a research note on Thursday. JPL\u2019s indigenous fifth-generation stack comprises radio, core, and automation solutions, along with an OSS\/BSS portfolio and network services. It is seen as an alternative to the top five multinational vendors, which together control 80% share of the network infrastructure market. Over the years, multinationals have cemented their stronghold in […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-972561","post","type-post","status-publish","format-standard","hentry","category-telecom"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/972561","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=972561"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/972561\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=972561"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=972561"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=972561"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}