Reliance and Disney Seal a Groundbreaking Media Partnership, Pioneering India's Digital Entertainment Frontier

Mumbai / Burbank, Calif., 14th November 2024 In a bold move set to redefine the entertainment landscape in India and beyond, Reliance Industries Limited (RIL), Viacom18 Media Private Limited, and The Walt Disney Company have announced the completion of a landmark joint venture (JV) to unite their powerful media assets under one banner. Approved by regulators including the Hon’ble NCLT Mumbai and the Competition Commission of India, the newly established JV is poised to become a dominant force in India’s digital streaming and television ecosystem. With a formidable blend of iconic entertainment brands and unmatched resources, this partnership promises to deliver an unprecedented viewing experience for millions of Indian consumers.

Reliance Disney Joint Venture

Reliance, the giant at the heart of India’s industrial and digital revolution, has invested a massive ₹11,500 crore (about $1.4 billion) in the JV. This move places Reliance in operational control of the venture, with Nita M. Ambani appointed as Chairperson, supported by Uday Shankar as Vice Chairperson. The new alliance is set to oversee the integration of India’s most beloved media brands, including Star, Colors, JioCinema, and Hotstar, marking an exciting new chapter for the industry.

A New Era for Indian Entertainment: “Transforming the TV-Digital Ecosystem”

As digital streaming continues to accelerate across India, the JV is well-positioned to lead the charge. This strategic union between Reliance and Disney aims to deliver a cohesive, digital-first content offering, merging JioCinema and Disney+ Hotstar under a single platform that will cater to a vast and diverse audience. With the combined might of India’s most popular television and digital platforms, the JV will have the ability to provide expansive choices in entertainment and sports—appealing not only to urban audiences but also reaching India’s remotest corners.

Mukesh Ambani, Chairman and Managing Director of Reliance Industries, shared his optimism: “With the formation of this JV, the Indian media and entertainment industry is entering a transformational era. Our deep creative expertise and relationship with Disney, along with our unmatched understanding of the Indian consumer, will ensure unparalleled content choices at affordable prices for Indian viewers. I am very excited about the JV’s future and wish it all the success.”

Bob Iger, CEO of The Walt Disney Company, echoed this enthusiasm: “This is an exciting moment for our two companies, as well as for India’s consumers, as we create one of the top entertainment entities in the country through this joint venture. By joining forces with Reliance, we are able to expand our presence in this important media market and deliver viewers an even more robust portfolio of entertainment, sports content, and digital services.”

Game-Changing Scale and Scope: A Multi-Billion Dollar Enterprise

The transaction values the JV at a staggering ₹70,352 crore (approximately $8.5 billion) on a post-money basis, positioning it as one of India’s largest entertainment giants. With an annual pro forma revenue of around ₹26,000 crore ($3.1 billion), the JV is set to operate over 100 television channels and produce more than 30,000 hours of original programming annually. Additionally, with a subscriber base exceeding 50 million, JioCinema and Hotstar’s combined platform is set to become a central player in India’s streaming industry.

The JV also includes a broad portfolio of sports rights, spanning popular categories such as cricket, football, and other major sporting events. This diverse selection will allow the JV to engage sports fans from around the world, further solidifying its presence as a go-to destination for premium entertainment and sports content.

Strategic Visionaries at the Helm

Leading the JV into this new era will be three powerhouse executives with a wealth of experience in entertainment, digital, and sports sectors. Kevin Vaz, a seasoned leader in the entertainment industry, will head up the JV’s entertainment division across all platforms. Kiran Mani, known for his innovative digital strategies, will spearhead the digital organization, while Sanjog Gupta, an industry expert in sports broadcasting, will guide the sports division. Together, they aim to drive a bold, consumer-centric strategy that will challenge industry norms and set new standards in the market.

Uday Shankar, Vice Chairperson and Co-Founder of Bodhi Tree Systems, expressed his vision for the JV’s impact on India’s entertainment industry. “The new organization is committed to delivering an unprecedented level of creativity, disruption, and new-age consumer experience. As media consumption continues to move to an integrated TV-digital ecosystem, the merger of Viacom18 and Star India offers a unique opportunity to reorient the industry to better serve diverse cohorts of consumers across the country. Together, we aim to build India’s largest integrated media platform, which will deliver unparalleled experiences in innovative and exciting ways.”

Global Regulatory Green Light

The JV has cleared regulatory hurdles in multiple jurisdictions, including approvals from the Competition Commission of India, the EU, China, Turkey, South Korea, and Ukraine. The CCI approval, granted in August, came with specific voluntary compliance measures to ensure fair competition and innovation within India’s media market. This regulatory clearance underscores the international significance of this partnership and its potential to reshape the media landscape in one of the world’s fastest-growing economies.

A Unified Media Experience for Indian Audiences

The integration of beloved brands like Star and Colors on TV, along with digital platforms JioCinema and Hotstar, is a move that brings together some of India’s most iconic and enduring entertainment options under one umbrella. Indian audiences, who have long been loyal to these brands, now have a unified destination that promises a richer, more seamless viewing experience.

A Market-Disrupting Transaction: Reliance Acquires Paramount Global’s Stake in Viacom18

In a separate move, RIL has acquired Paramount Global’s 13.01% stake in Viacom18 for ₹4,286 crore. With this acquisition, RIL now holds 70.49% ownership of Viacom18, while Network18 Media & Investments Ltd. retains a 13.54% share, and Bodhi Tree Systems holds 15.97%. This restructuring consolidates Reliance’s control over Viacom18, further strengthening its position in the JV and providing RIL with greater influence over the direction and vision of the media conglomerate.

What Lies Ahead for India’s Entertainment Industry

This partnership marks an extraordinary moment in India’s media industry—a convergence of creativity, scale, and technological innovation that few companies can rival. With Reliance and Disney at the helm, this JV is poised to reshape India’s entertainment industry by delivering affordable, world-class content to viewers nationwide. As the lines between TV and digital blur, this partnership sets the stage for a future where audiences are at the heart of every innovation and decision.

Indian consumers can expect to see a dynamic shift in their viewing experience. Whether it’s the latest blockbuster drama, live sports streaming, or unique digital-first content, the JV promises to elevate content consumption to new heights. As streaming giants and traditional TV networks adapt to the demands of an evolving audience, Reliance and Disney’s ambitious collaboration offers an inspiring vision of what lies ahead in Indian entertainment.