Reliance Industries Commits $25 Billion for 5G Rollout in India

India has lagged behind the rest of the world in setting up networks for the rollout of 5G technology, whose speed is billed as key to ushering in a new era of digitally connected industries. The Reliance Group plan is set to leapfrog India into the league of nations like China and South Korea that already use 5G.

Mr. Ambani said his company would deploy a “stand-alone 5G” version that doesn’t depend on the earlier 4G network to help deliver faster connectivity. The company says it is targeting connecting over 100 million homes and tens of millions of small merchants and businesses, and will work with U.S. chip maker Qualcomm on the effort.

“We are committed to make India the largest data-powered economy in the world, beating China and the United States. Jio 5G will be the world’s largest and most advanced 5G network,” said Mr. Ambani, without sharing tariff details of the planned services.

Reliance Group had emerged as the biggest buyer in the Indian government’s first auction of 5G spectrum, offering about $11 billion over 20 years for the rights to airwaves as it sought to cement its leading position in the world’s second-biggest wireless market after China.

Reliance Jio’s bids for airwaves across multiple bands represented more than half the $19 billion of commitments received by the government in the auction late last month. The $25 billion planned investment by the company for its pan-India 5G rollout includes the amount incurred for buying the airwaves.

Mr. Ambani, Asia’s second-richest person after industrialist Gautam Adani, whose company’s interests span energy to ports, has over the past few years been diversifying his company’s businesses from fossil fuel to technology, retail and renewable energy.

Earlier this year, he also took the first steps toward succession planning, making his son, Akash Ambani, chairman of Reliance Jio. The younger Mr. Ambani on Monday said the company was excited about the opportunity to use 5G technologies “to improve the lives of hundreds of millions of our citizens.”

Mr. Ambani said the Reliance Group will invest 750 billion rupees over the next five years to expand capacity in existing and new value chains in its petrochemicals business.

The company also announced plans to launch a new consumer goods business this year, to develop and deliver affordable products aimed at every Indian’s daily needs, said Mr. Ambani’s daughter, Isha Ambani, who leads the retail venture of the company.

Write to Rajesh Roy at [email protected]