It is likely that Jio Cinema and Disney+ Hotstar will merge into a single entity, bringing a new and improved OTT experience unlike any other in India.
In a major move that could change entertainment and OTT viewing in India, Mukesh Ambani’s Reliance has signed a non-binding agreement with Walt Disney Co, bringing the companies closer to a mega-merger between RIL and Disney Star.
Jio Cinema and Disney+ Hotstar are also part of the deal, which is likely to be merged into a single entity. Jio Cinema and Hotstar are direct rivals, but their potential merger could be a game changer in India’s OTT industry.
The Reliance-Disney merger is expected to be completed by February 2024, with Ambani’s company expected to have more control over the combined entity. According to the initial details of the deal, the share split between Reliance and Disney will be 51-49.
Once the deal is completed, it will become the largest entertainment merger in India. Under the terms of the deal, both companies will gain $1.50 for the merger, while Reliance will hold more shares in the company.
Jio Cinema and Disney+ Hotstar are two major companies when it comes to bidding for IPL rights and international cricket tournaments. With a potential merger looming, this bidding war could be over for good. Once Reliance takes control of Star India channels, Star could retain cricket rights for television, while OTT rights could be given to the merged Jio-Disney platform.
The merger between Jio Cinema and Disney+ Hotstar will create India’s largest OTT platform, with streaming rights to cricket and football as well as HBO and WB content. This will also help Hotstar escape the losses it has suffered in the past year.
Meanwhile, news of the Reliance-Disney merger has caused a wave of users leaving Hotstar, which has been struggling for the past few years after losing its IPL rights and HBO deal.
The Reliance-Disney deal will not only bring change to the OTT sector but also to TV viewing. The companies are currently finalizing the final details of the merger.
For more information, visit at https://happenrecently.com/zepto/?amp=1
