The Competition Commission of India (CCI) has issued approximately 100 inquiries to Reliance Industries and Walt Disney concerning their $8.5 billion merger of Indian media assets.
The CCI inquiry also includes questions related to sports rights details, thereby increasing scrutiny of the deal, as per reports.
The reports also highlighted that the Reliance-Disney merger announced in February 2024 is expected to undergo intense scrutiny, as it will create the largest entertainment company with 120 television channels and two online streaming services. The merger will also result in co-ownership of the rights to the cricket segment.
Reliance Industries and Walt Disney have submitted a confidential submission to the antitrust regulator, asserting that their merger will not harm competition. They argued that the cricket rights in question will expire in 2027 and 2028, providing an opportunity for competitors to bid on them.
The reports also highlighted that the competition regulator has asked for additional details regarding the deal, posing two sets of questions. Among these queries, the regulator seeks clarification on why YouTube, primarily a platform for free and user-generated content, should be considered on par with paid service providers such as Netflix and Disney.
Both companies have responded to the CCI’s queries, asserting that YouTube operates paid content, possesses extensive reach, and holds the necessary license.
