Mukesh Ambani's Reliance Industries is reportedly in talks with major cable operators, including MSOs (Multi-System Operators) such as Hathway, Den, Digicable and InCable to pick up a minimum 26% stake, according to Business Standard. According to the report, RIL wants to rope in cable service providers as last mile connectivity partners for its forthcoming 4G internet services. The report cites two independent sources to confirm the development. It also quotes an RIL spokesperson who reveals that the company has been in talks with several potential partners to roll out the service with a partnered approach, making use of its own and its partners' assets. However, the spokesperson did not get into specifics. How Will RIL Benefit? - Easy Reach: Partnering cable operators and MSOs will help RIL in setting up a large distribution network for its 4G internet services at the local level. Since, the majority of the market is still connected via Cable networks, they would have a better reach. It would allow RIL to leverage the operators' network for sales, support and service, and RIL would not need a major investment in building up a retail presence. - Triple play: Also, operators like Hathway offer their own internet service, while some local operators offer these services via franchise agreements with partners such as Sify. RIL will also give these operators the incentive of offering high speed internet services, which are much more superior to the operators' existing offerings and compete with other ISPs. The promise of triple play integrating…
