24th October 2023, Mumbai: Disney is reportedly planning to sell its Indian operations worth $10 billion to Reliance Industries as the latter’s Jiocinema is shaking up the streaming game in the country.
Disney had acquired a significant stake in the Indian media company UTV in 2012 and later merged it with its own operations to form Walt Disney India. The company, however, was not able to make much headway in the Indian market dominated by local players such as Hotstar, Amazon Prime Video, and Netflix.
JioCinema’s disruptive impact
Reliance Industries’ Jiocinema, on the other hand, has been giving tough competition to these established players with its free streaming services. The company has also been aggressively expanding its content offerings to attract more viewers.
Reliance’s ambitious plans
Reliance Industries, headed by India’s richest man Mukesh Ambani, has been aggressively expanding its presence in the media and entertainment sector. The company has invested heavily in content production and has launched several services such as JioSaavn, JioTV, and JioCinema to challenge established players in the market.
Sale of Indian business
As part of its global restructuring plan, Disney is now planning to exit the Indian market and focus on its core operations. The sale of its Indian business to Reliance Industries would give a significant boost to the latter’s media and entertainment ambitions. The deal is expected to be finalized soon, according to sources.
Implications of the deal
The sale of Walt Disney India would have major implications for the Indian media and entertainment industry. Reliance Industries, with its deep pockets and ambitious plans, could emerge as a major player in the market. It remains to be seen how the company’s aggressive expansion plans will impact existing players such as Hotstar, Amazon Prime Video, and Netflix.