5G Spectrum: The reasons behind the substantial government liabilities incurred by Reliance Jio.

**Reliance Jio’s Payment Liability Declines Amidst Growth in 5G Users**

Reliance Jio’s payment liability to the Department of Telecommunications (DoT) reached ₹1.09 trillion as of the end of March, down from ₹1.13 trillion the previous year, according to Reliance Industries Ltd’s FY25 annual report. This significant liability is largely attributed to the company’s aggressive spectrum acquisition strategy, particularly during the 2022 5G auction, where it secured radio frequencies valued at ₹88,000 crore. In contrast, Bharti Airtel reported a deferred payment liability of ₹95,028 crore as of March, a decrease from ₹1.04 trillion a year earlier.

The annual report highlights that Jio’s spectrum footprint has expanded to 26,801 MHz (uplink + downlink), reinforcing its leadership in the telecom sector. As of March, the value of Reliance Jio’s spectrum was estimated at ₹1.47 trillion, a substantial increase from ₹69,852 crore the previous year. In the 2022 spectrum auction, Jio acquired the largest share of 5G spectrum available, followed by additional airwaves worth ₹974 crore in 2024.

As of the end of June, Jio boasted 498 million users, including over 210 million 5G subscribers. The company is actively pursuing advancements in future communication technologies, engaging in research and development for 6G, with the goal of leading its global deployment.

By March, Jio held 485 patents, making it one of India’s largest patent holders, especially in the realms of 5G and 6G technologies. However, the company has acknowledged that disruptive technological changes could render current technologies obsolete. Reliance Industries noted that the emergence of a new disruptive competitor or intensified price competition could affect long-term returns, particularly with the anticipated launch of satellite services in India.

In addition to its telecom advancements, Jio is developing its own satellite communication platform in partnership with Luxembourg-based SES and has collaborated with SpaceX to provide Starlink’s broadband internet services to Indian customers. The annual report emphasizes Jio’s commitment to extending its leadership in technologies such as 5G, fixed broadband, and converged networks, while also capitalizing on the burgeoning opportunities presented by AI services.

As of March, Jio employed 94,523 individuals, an increase from 90,067 in FY24. Notably, the remuneration for Reliance Jio chairman Akash Ambani rose to ₹2.31 crore in FY25, up from ₹1.01 crore in FY24. The company has revised its subscriber estimates for FY25-27, projecting an increase of up to 2% in mobile and fixed wireless access subscribers, anticipating that Jio’s mobile subscriber base will reach 517 million.

**FAQ**

**What is Reliance Jio’s current payment liability to the DoT?**
As of March-end, Reliance Jio’s payment liability to the Department of Telecommunications stands at ₹1.09 trillion, a decrease from ₹1.13 trillion the previous year. 

Vimal Sharma

Vimal Sharma

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Vimal Sharma

Vimal Sharma

A dedicated blog writer with a passion for capturing the pulse of viral news, Vimal covers a diverse range of topics, including international and national affairs, business trends, cryptocurrency, and technological advancements. Known for delivering timely and compelling content, this writer brings a sharp perspective and a commitment to keeping readers informed and engaged.

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