Soon after Reliance Industries (RIL), Viacom18 Media, and The Walt Disney Company announced the merger of Viacom18’s media and JioCinema businesses with Star India, Uday Shankar, Vice-Chairperson of the joint venture and Co-founder of Bodhi Tree Systems, emphasised their commitment to investing in both television and digital platforms.
In an interview with a media publication, Shankar said, “There is no question of one replacing the other and both are extremely critical from a strategic point of view.”
He stated that India is home to 90 million households equipped with televisions.
“That is a huge opportunity for us. Equally, we are aware that digital too is exploding and will continue to grow,” Shankar added.
The transaction values the JV at Rs 70,352 crore ($ 8.5 billion) on a post-money basis, excluding synergies. At the closing of the transactions noted above, the JV is controlled by RIL and owned 16.34% by RIL, 46.82% by Viacom18 and 36.84% by Disney.
“The opportunity in India is too large and the network will be to target the mass audience,” Shankar said.
He elaborated that innovations introduced during the IPL on JioCinema, such as multi-language feeds, will continue to be a priority. “Innovation will remain a key focus area,” he emphasised.
Also read: The Road Ahead For ‘JioStar’ As Reliance & Disney Merge Their Media Assets
As per a joint statement, the JV is home to the most iconic and engaging media brands in India across TV and digital platforms. The combination of ‘Star’ and ‘Colors’ on the television side and ‘JioCinema’ and ‘Hotstar’ on the digital front will provide an extensive choice of content across entertainment and sports to viewers in India and globally.
The formation of the JV will herald a new era in India’s entertainment industry for consumers. This unique joint venture of Reliance and Disney brings together the companies’ content creation and curation prowess, world-class digital streaming capabilities along with a digital first approach that will help the JV deliver unparalleled content choices at affordable prices to Indian viewers and the Indian diaspora globally.
