Hughes and Airtel to combine their India VSAT operations

Bharti Airtel Limited (“Airtel”), one of the world’s leading integrated providers of telecommunication services, and Hughes Communications India Ltd. (HCIL), a subsidiary of Hughes Network Systems, LLC (HUGHES), the global leader in broadband satellite networks and services, today announced an agreement to combine their VSAT operations in India. The transaction is subject to approvals by relevant authorities.

As per the agreement, Hughes will have majority ownership in the combined entity and Airtel will have a significant shareholding. 

The combined entity will benefit from enhanced scale, improved operational efficiencies and wider market reach. The combined entity will be well positioned to leverage the demand for secure connectivity in a rapidly growing digital economy.

HCIL is the leading broadband satellite service operator in India. It provides a comprehensive range of broadband networking technologies, solutions, and services for businesses and governments.

The combined entity will be able to introduce new VSAT and related technologies to deliver a wide range of quality products and service. The combined entity will continue to serve existing Hughes and Airtel customers.

Announcing the partnership, Partho Banerjee, President and Managing Director, Hughes Communications India Ltd said, “We are very excited about the synergies that this partnership will bring to the Indian ecosystem. These are exciting times for satellite broadband service providers as VSAT becomes more mainstream, driven by growing demand from both, enterprise and government segments.”

Ajay Chitkara, Director and CEO, Airtel Business said: “We are pleased to combine our VSAT operations with Hughes to serve the connectivity needs of Digital India. The partnership will bring amazing synergies to the forefront and combine the proven capabilities of both the companies. Customers can look forward to highly secure and reliable connectivity solutions across the length and breadth of India.”