Bharti Airtel has acquired minority stakes in Cnergee Technologies, a Navi Mumbai-based cloud networking solutions provider, to strengthen its 5G services portfolio and position as a network-as-a-service (NaaS) provider for small and medium-sized businesses (SMBs).
Airtel, in a statement, said that Cnergee specialises in integrated networking solutions over the cloud and has developed several 5G-related software solutions that can be offered as NaaS to enable zero-touch services, manage connected devices, and central remote monitoring.
The Sunil Bharti Mittal-led telecom player has acquired the stakes in Cnergee under its Startup Accelerator Program, which invests in early-stage start-ups that are developing new-age solutions for enterprises.
The stakes in Cnergee will enable Airtel to position itself as a leading provider of NaaS, especially in the eyes of SMBs, many of which have stepped up cloud adoption.
Airtel currently caters to over a million businesses of all sizes and offers solutions on connectivity, conferencing, cloud, data centres, cyber security, IoT, and ad-tech and communication platform as a service (CPaaS).
“As businesses move to cloud-based applications, software-defined agile networks are becoming the norm,” said Ajay Chitkara, director and chief executive of Airtel Business. “We welcome Cnergee to the Airtel Startup Accelerator Program and look forward to deploying their ‘Made in India’ solutions at scale in the fast-growing NaaS market in India.”
The global NaaS market is expected to surpass $50 billion in value by 2025, according to a Global Market Insights’ report published this month. The report attributes it to the growing demand for cost-effective networking solutions and faster adoption of cloud-based networking technologies. The commercialisation of 5G services is further expected to fuel demand for NaaS. India is yet to roll out 5G services, but trials have been conducted and the auction for distribution of the 5G spectrum is expected to be held sometime this year.
In January this year, global internet search giant Google said it would invest up to $1 billion in Bharti Airtel through an equity purchase of 1.28% and commercial agreement on mutual terms over the next five years.
