IPO-bound Jio Platforms sharpens asset-light telco play

Jio Platforms is moving closer to a long-anticipated public listing, with internal preparations gathering pace as the company awaits final regulatory clarity from the government. Senior executives indicate that the company, which houses telecom services firm Reliance Jio Infocomm Ltd (RJIL) and a range of digital businesses, is preparing to file its draft red herring prospectus (DRHP) with market regulator Sebi, subject to government notification of the new IPO framework. Once the new IPO rules - particularly around the quantum of dilution - are notified, the company expects to swiftly formalise the process and move ahead, potentially within a few months, according to company sources.

At the last AGM, Mukesh Ambani, chairman of Reliance Industries (RIL) , said that Jio would list in the “first half of 2026”. Brokerages project a valuation of ₹8–15 lakh crore for Jio Platforms, considering its customer base, average revenue per user and earnings margins. Jio Platforms’ profit after tax (PAT) increased 11.2% to ₹7,629 crore in Q3. The customer base expanded to 515.3 million (6.9% growth) during the period, while average revenue per user (ARPU) increased 5.1% to ₹213.7.

The IPO push comes at a time when Jio Platforms is sharpening its operating structure as a digital-plus-telecom services company, with a clear separation between infrastructure ownership, product development and service delivery. Under this model, Jio Platforms will remain the customer-facing entity, offering connectivity, cloud and AI-led services, while capital-intensive investments such as network infrastructure construction, data centres and the building of the AI stack are housed within other Reliance Industries entities, including Reliance Jio Infratel and Reliance Intelligence.

A central pillar of this strategy is the expanding role of Reliance Intelligence, which is being positioned as the group’s artificial intelligence and advanced technology engine. Intelligence-led products developed by Reliance Intelligence will be offered to Jio Platforms on commercial terms, which will then bundle and deliver them to enterprises, governments and consumers. This mirrors global cloud and AI operating models, where platform companies work closely with specialised technology developers, sources said.

Jio’s cloud ambitions are also taking clearer shape. Jio AI Cloud is being offered as a service directly by Jio, supported by infrastructure created within the Reliance ecosystem. The sovereign cloud initiative, MeghRaj - which Jio provides to the government through the National Informatics Centre - follows a similar structure. The same platform is now being extended to enterprise and banking clients, with AI capabilities expected to be layered on through products developed by Reliance Intelligence.

Crucially, Jio Platforms itself will remain asset-light, said Anshuman Thakur, senior vice-president at Jio Platforms, during the Q3 earnings call. Data centres, GPUs and other heavy infrastructure continue to sit within Reliance Industries or Reliance Intelligence, depending on the nature of the investment. Jio accesses these assets through long-term lease arrangements, allowing it to scale services rapidly without burdening its own balance sheet with large capital expenditure. While Jio Cloud remains a Jio service, the underlying infrastructure can be leased not only from group entities but also from third parties, if required.

This structure is expected to be a key talking point for investors as Jio Platforms approaches the public markets. The company is positioning itself as a high-growth digital services provider with predictable costs and strong operating leverage, rather than a capital-heavy telecom and infrastructure business carrying large debt on its books.

Alongside internal restructuring, Jio Platforms is deepening strategic partnerships and joint ventures with global technology leaders, including Qualcomm, Google, Meta and Nvidia. These collaborations span connectivity, devices, cloud and AI, and are expected to play a significant role in shaping Jio’s next phase of growth. Commercial agreements will also be forged between Jio Platforms and Reliance Intelligence to bring advanced intelligence products to market at scale.

On the connectivity side, Reliance Jio Infocomm (RJIL) continues to act as the primary service provider for customers seeking fibre and data connectivity solutions. While dark fibre assets are housed in another group company, Jio Digital Fibre Private Limited, customers typically engage with RJIL for end-to-end services. Only a small set of clients requiring specific licences directly access dark fibre, underscoring Jio’s focus on managed, service-led offerings.

The company’s emphasis on capital efficiency is also visible in its subscriber economics. Incremental capital expenditure per subscriber has declined as fixed network investments are spread across a rapidly expanding base. While fibre-to-the-home connections can involve slightly higher last-mile costs, particularly where new fibre needs to be laid, overall customer equipment costs remain broadly similar across technologies. Innovations in fixed wireless access, including the ability to serve multiple homes from a single installation, are further driving down per-subscriber costs.

As Jio Platforms moves closer to its IPO, the narrative it is building is clear: a scalable, asset-light digital platform anchored by partnerships with global technology leaders and backed by a powerful in-house intelligence engine. Management aims to position the offering as a direct window into the valuation of one of India’s most ambitious digital ecosystems.