India sends 100 antitrust queries for Reliance, Disney $8.5 bln merger, sources say
Reliance, Disney creating entertainment powerhouse
Antitrust watchers predicted intense scrutiny of deal
India antitrust body queries on sports rights, YouTube market
Companies tell watchdog YouTube key player in market-sources
By Aditya Kalra
NEW DELHI, July 22 (Reuters) -India's antitrust body has asked Reliance Industries and Walt Disney around 100 questions linked to their $8.5 billion India media assets merger, including details on sports rights as it heightens its scrutiny of the deal, two sources told Reuters.
Antitrust experts had warned that the Reliance RELI.NS and Disney DIS.N deal, which was announced in February, could face intense scrutiny as it will create India's biggest entertainment player with 120 TV channels and two streaming services.
The companies will also together own lucrative rights for cricket, India's most popular sport.
In a confidential submission to the Competition Commission of India (CCI) in May, the companies said their merger would not hurt the competition, and argued that cricket rights will expire in 2027 and 2028 and allow bidding by rivals, and advertisers can target cricket-watching consumers on many rival platforms including YouTube, Reuters reported in May.
The CCI has now sought more details via two sets of questions, including why YouTube - which mostly has free, user-generated content - should be treated in the same market as subscription streaming services like Netflix NFLX.O and Disney DIS.N, two sources familiar with the matter said.
Reliance and Disney have responded to the CCI questions and argued YouTube too has its own licensed, paid content as well as a wide reach, said the sources, who declined to be named as the information is confidential.
Data from Media Partners Asia last year showed that YouTube accounted for 88% of the online video market in India, while the premium video market of 12% is dominated by streaming services which "curate premium long-form content".
Reliance-Disneywill also own digital and TV cricket rights worth billions of dollars for top cricket tournaments as well as for the Wimbledon tennis championship, which has raised more antitrust concerns.
The CCI has also asked the companies details on which entity owns which sports rights and for how long, as well as information on who had bid for them previously.
"The CCI is so far not raising concerns on the rights but is gathering information," said one of the sources.
The requests for so much information could be because of the large size of the deal, said the first source. The second source, however, said the CCI was asking an unusually large number of questions.
Reliance, which is led by billionaire Mukesh Ambani, and the CCI did not respond to Reuters requests for comment. Disney declined to comment. The CCI is still reviewing the merger.
If it closes, the Reliance-Disney deal will reshape India's $28 billion entertainment market where Zee Entertainment ZEE.NS and Sony 6758.T also operate.
Jefferies estimates Disney-Reliance will command 40% of the advertising market share in the TV and streaming segments.
Technology and cricket big wins for billionaire Ambani in Disney tie-up https://www.reuters.com/markets/deals/technology-cricket-big-wins-billionaire-ambani-disney-tie-up-2024-02-29/
Graphic: Sports broadcast in India after Reliance Disney media merger https://reut.rs/3Tk37Vj
Analysis: Grip over cricket may lead to antitrust heat in Disney-Reliance India merger https://www.reuters.com/sustainability/boards-policy-regulation/grip-over-cricket-may-lead-antitrust-heat-disney-reliance-india-merger-2024-03-01/
Factbox: Reliance, Disney to dominate Indian entertainment https://www.reuters.com/markets/deals/reliance-disney-dominate-indian-entertainment-with-streaming-tv-assets-2024-02-28/
Reporting by Aditya Kalra; additional reporting by Munsif Vengattil; editing by Miral Fahmy
الأصول ذات الصلة
آخر الأخبار
إخلاء المسؤولية: تتيح كيانات XM Group خدمة تنفيذية فقط والدخول إلى منصة تداولنا عبر الإنترنت، مما يسمح للشخص بمشاهدة و/أو استخدام المحتوى المتاح على موقع الويب أو عن طريقه، وهذا المحتوى لا يراد به التغيير أو التوسع عن ذلك. يخضع هذا الدخول والاستخدام دائماً لما يلي: (1) الشروط والأحكام؛ (2) تحذيرات المخاطر؛ (3) إخلاء المسؤولية الكامل. لذلك يُقدم هذا المحتوى على أنه ليس أكثر من معلومات عامة. تحديداً، يرجى الانتباه إلى أن المحتوى المتاح على منصة تداولنا عبر الإنترنت ليس طلباً أو عرضاً لدخول أي معاملات في الأسواق المالية. التداول في أي سوق مالي به مخاطرة عالية برأس مالك.
جميع المواد المنشورة على منصة تداولنا مخصصة للأغراض التعليمية/المعلوماتية فقط ولا تحتوي - ولا ينبغي اعتبار أنها تحتوي - على نصائح أو توصيات مالية أو ضريبية أو تجارية، أو سجلاً لأسعار تداولنا، أو عرضاً أو طلباً لأي معاملة في أي صكوك مالية أو عروض ترويجية مالية لا داعي لها.
أي محتوى تابع للغير بالإضافة إلى المحتوى الذي أعدته XM، مثل الآراء، والأخبار، والأبحاث، والتحليلات والأسعار وغيرها من المعلومات أو روابط مواقع تابعة للغير وواردة في هذا الموقع تُقدم لك "كما هي"، كتعليق عام على السوق ولا تعتبر نصيحة استثمارية. يجب ألا يُفسر أي محتوى على أنه بحث استثماري، وأن تلاحظ وتقبل أن المحتوى غير مُعدٍ وفقاً للمتطلبات القانونية المصممة لتعزيز استقلالية البحث الاستثماري، وبالتالي، فهو بمثابة تواصل تسويقي بموجب القوانين واللوائح ذات الصلة. فضلاً تأكد من أنك قد قرأت وفهمت الإخطار بالبحوث الاستثمارية غير المستقلة والتحذير من مخاطر المعلومات السابقة، والذي يمكنك الاطلاع عليه هنا.
