New Delhi, India – Indian billionaire Mukesh Ambani, along with his wife, Nita M. Ambani, has teamed up with Disney to create a new media powerhouse in India. This collaboration aims to target a domestic audience of over 750 million people, merging Ambani’s Reliance Industries with Disney’s digital streaming platforms and TV channels in a joint venture valued at around $8.5 billion.
Rumors of this partnership have been circulating for some time, as Disney has faced challenges in leveraging the vast market of English-speaking individuals in India, where it has struggled to capitalize on its opportunities. The company’s move into India escalated in 2019 when it acquired most of 21st Century Fox, including Star India network.
Under this venture, Reliance will hold a majority stake of just over 63%, primarily through its Viacom18 subsidiary, while Disney will own the rest. Mukesh Ambani, whose business empire spans various industries such as retail, technology, and renewable energy, described this agreement as a groundbreaking development ushering in a new era in the Indian entertainment sector.
Nita M. Ambani is set to lead the joint venture, combining Disney’s acclaimed films and shows with Viacom18’s renowned productions and sports offerings. The companies also plan to cater to the Indian diaspora globally, recognizing India as the world’s most populous market brimming with opportunities for long-term value creation.
Despite facing hurdles in India’s competitive media and entertainment landscape, Disney sees this collaboration as an opportunity to strengthen its foothold in the market. The conglomerate experienced setbacks in the past, losing digital rights to stream popular events like the Indian Premier League cricket matches to Ambani’s conglomerate, impacting its subscriber numbers on the Hotstar streaming app.
In its latest financial report, Disney reported a decline in revenue per Hotstar subscriber, signaling a need for strategic collaboration to revitalize its presence in the Indian market. Ambani’s JioCinema also attracted viewers with content from Warner Bros. Discovery, further challenging Disney’s position.
With the joint venture’s launch, industry experts anticipate a shift in India’s media landscape, as Disney plans to enhance its offerings and regain lost ground in a rapidly evolving market. The partnership symbolizes a significant milestone in the entertainment industry, blending the strengths and assets of both entities to meet the diverse needs of Indian audiences and beyond.