- JioCinema and Disney+ Hotstar are merging to form a new platform, "JioHotstar."
- The merger is driven by Disney+ Hotstar's technological advantage in streaming content.
- JioHotstar will be the largest OTT platform in India, offering a vast content library from both platforms
It was well known since the beginning of this year that Disney+ Hotstar will merge with Ambani’s OTT platform, JioCinema. This news comes months after their deal worth $8.5 Billion to merge Reliance with Walt Disney Media, Viacom 18 and Star India took place earlier this year. But now, in a shocking turn of events, it seems like JioCinema would be the one to take the fall and merge with Disney+ Hotstar.
Why is JioCinema Merging with Disney+ Hotstar?
The reason for this change of plans could be Disney+ Hotstar’s technological infrastructure for streaming live sports content on their platform. Previously, Hotstar used to host IPL live events, which was one of the biggest reasons people subscribed to the platform.
The IPL then shifted to JioCinema. It was initially planned that all live sports events would move over to Hotstar because of their technological superiority, but now both apps will be merged as one. This new consolidated platform will be named “JioHotstar“, and will contain the streaming library of both the apps. This would make it the biggest OTT platform in the country with the biggest user base.
How this Merger Was Approved
The Competition Commission of India previously expressed concerns over this merger of the two giants. And rightfully so, as post-merger, JioHotstar alone will have more content than any other OTT in the country. They would also have exclusive access to cricket broadcasting, which is always in demand in India.
However, Reliance did offer concessions to the CCI and committed to not exploit this exclusivity by imposing “unreasonable” rates on advertisements in cricket matches. This led to CCI and the antitrust regulators approving the $8.5 Billion merger.
What Does This Mean for Existing Subscribers?
With both platforms merging together, it would be interesting how the companies transition their already huge subscriber base. Currently, there is no information on whether the existing customers will get any additional benefits or not.
This is a developing story, and we will update it as further details are dropped. In the meantime, do let us know what you think about this merger of the two platforms. In my honest opinion, it is a win-win for users. You will have one platform to watch all your favorite content, whether it is TV serials, Marvel, Disney, Star Wars movies, HBO shows, or sports events. All of them will be in one place.
