Reliance Jio: According to open reports, Mukesh Ambani has given a non-bidding agreement in the name of his company Reliance Jio to buy the India media operation of Walt Disney’s Disney Hotstar. After this deal, Reliance will have 51 percent stake, while Disney Hoster will have 49 percent stake. This deal can be completed by January or February.
Businessman Mukesh Ambani has played a big gamble. Walt Disney is being bought by Reliance Jio. According to the report, this deal will be completed in January last or February. This will be a non-bidding agreement, under which Disney Hotstar’s India media operation will be purchased. According to the report of Economics Times, after this deal, Reliance will have 51 percent stake, while Disney Hoster will have 49 percent stake.
The company was incurring losses
Jio Cinema was facing direct competition from Disney Plus Hotstar. Jios Cinema had snatched IPL rights from Disney Hotstar. After this, Disney had purchased the rights of Asia Cup and Cricket World Cup from Jio Cinema from Hotstar. After this, now Mukesh Ambani’s company Disney is buying Hotstar. Let us tell you that the company was incurring huge losses in the collision with Jio Cinema. There was a sharp decline in Hotstar subscriber numbers after IPL and FIFA World Cup.
What will happen to old users?
After this deal, Disney Plus Hotstar will be merged with Jio Cinema. In such a situation, the content of both the apps can be accessed in a single app. Existing customers of Disney Hotstar will shift to Jio Cinema. New subscriptions can be issued by Jio Cinema. With the same single recharge plan, users will also save money. Also, with the merger of Jio Cinema with Hotstar, there will be strong competition from Jio Entertainment, Sony, Netflix and Amazon Price.