'Could harm competition:' CCI voices concerns about Reliance-Disney merger

According to a media report, the main concern for the CCI appears to be the control over cricket broadcasting rights, which could potentially lead to issues with pricing and market dominance

by e4m Staff
Published: Aug 20, 2024 5:02 PM | 1 min read

India's antitrust regulator, the Competition Commission of India (CCI) has raised preliminary concerns that the $8.5 billion merger between Reliance's and Walt Disney's media assets could harm competition, especially due to their combined control over cricket broadcasting rights, said media reports.

The CCI's message, a significant challenge to Viacom18 and Star's proposed merger, has privately communicated its concerns to Disney and Reliance. The regulator has requested that the companies provide arguments against investigation, as reported by one of the sources.

According to the report, the primary concern for the CCI appears to be the control over cricket broadcasting rights, which could potentially lead to issues with pricing and market dominance.

While e4m has reached out to Disney, we are yet to receive a response on the matter.

The merger, announced in February, would result in a company majority-owned by Mukesh Ambani's Reliance, making it the largest entertainment entity in India. The merged entity would dominate the market with an extensive portfolio that includes 120 TV channels and two streaming services, posing a competitive threat to Sony, Zee Entertainment, Netflix, and Amazon Prime Video.