Disney and Reliance Plan to Sell TV Channels in India to Secure Merger Clearance

Major Concession Offered Amidst Antitrust Scrutiny

Walt Disney Co. and Reliance Industries Ltd. have agreed to offload certain TV channels in India as a means of expediting approval for their proposed $85 billion merger. This strategic move is expected to address antitrust concerns raised by Indian regulators.

Channels on the Chopping Block

The specific channels slated for sale have not been disclosed. However, sources indicate that the companies are willing to part with a significant portion of their portfolio, including channels from the Star India network and Reliance's Viacom18. These channels cater to various genres, including sports, entertainment, and news.

Accelerating the Merger Timeline

The merger, which would create one of the largest media conglomerates in India, has been under review by the Competition Commission of India (CCI) since May 2023. The proposed sale of TV channels is intended to address potential competition concerns and demonstrate the intent of both companies to comply with regulatory requirements.

The CCI has previously expressed concerns about the merged entity's dominance in the Indian media landscape and its potential impact on consumers. The sale of selected channels is expected to mitigate these concerns and pave the way for a faster approval process.

Impact on Viewers and Industry Dynamics

The sale of these channels is likely to have a significant impact on the Indian media landscape. It could lead to increased competition and consolidation within the industry, as other media companies seek to acquire the divested channels or fill the void created by their departure.

Viewers may also experience changes in their TV channel subscriptions and content availability. The specific channels being sold have not been announced, but they could include popular entertainment or sports channels that are currently part of the Star India or Viacom18 networks.