Daijiworld Media Network – New Delhi
New Delhi, Feb 26: Telecom giant Bharti Airtel Ltd. announced on Wednesday that it is engaged in bilateral discussions with the Tata Group regarding a potential merger of Tata Play’s Direct-To-Home (DTH) business with its subsidiary, Bharti Telemedia.
The announcement came in response to media reports claiming that the Tata and Bharti Groups are nearing a major DTH merger.
“We wish to submit that Bharti Airtel Limited (‘Airtel’) and Tata Group are in bilateral discussions to explore a potential transaction to achieve a combination of Tata Group’s Direct-To-Home (‘DTH’) business housed under Tata Play Limited, with Bharti Telemedia Limited, a subsidiary of Airtel, in a structure acceptable to all parties,” Airtel stated in a filing to stock exchanges.
However, Airtel clarified that the discussions are still at a preliminary stage.
According to media sources, if the merger proceeds, the combined entity would likely be managed by Bharti Airtel, which is expected to hold a 52-55% stake, with the remaining shares held by Tata Play shareholders, including Walt Disney.
As of last September, Tata Play—a 70:30 joint venture between Tata Sons and Disney—and Airtel had a combined 35 million paid subscribers, constituting more than half of the 60 million DTH subscribers in India at the time, as per official data.
The estimated valuation of both businesses is reportedly between ?6,000 crore and ?7,000 crore each.
Airtel and Ericsson Collaborate on 5G Standalone Deployment
In a separate development, Bharti Airtel has partnered with Ericsson to deploy 5G Standalone (SA) network technology, enhancing its network capabilities and preparing for a full-scale commercial 5G rollout.
Ericsson will supply key 5G equipment to Airtel, ensuring a seamless transition to 5G SA.
“Ericsson's long-standing partnership with Airtel has entered an exciting phase with the deployment of 5G core solutions to support Airtel’s transition to 5G Standalone. This rollout will be crucial for Airtel’s long-term 5G strategy, increasing network capacity and enabling innovative, differentiated services for customers,” said Airtel’s Chief Technology Officer, Randeep Sekhon.
The implementation of 5G SA is expected to significantly enhance Airtel’s 5G monetisation strategy, allowing the development of new business models, Ericsson stated.
Unlike Non-Standalone (NSA) 5G, which operates as an overlay on existing 4G and 3G networks, Standalone 5G functions on a fully independent 5G network, offering superior efficiency and performance.
As part of the agreement, Ericsson will also deploy its signalling controller solution within Airtel’s network and introduce 5G SA-enabled charging and policy solutions. These advancements are expected to play a key role in Airtel’s next phase of 5G expansion.