The collaboration between Walt Disney and Reliance Industries in India’s streaming sector is prompting smaller platforms to band together to avoid being overshadowed.
These partnerships are really important for them to survive, but agreeing on a fair price is tricky. Smaller platforms say they have special content for specific groups, which bigger companies might not care about.
In February, Reliance Industries and Disney India finalized an extensive $8.5-billion merger of their streaming and TV assets. However, industry experts warn that no OTT platform has achieved much profit yet, so big companies are cautious about investing.
The OTT industry is also worried about advertising revenue, given the potential dominance of the merged Disney-Reliance entity.
Nonetheless, smaller platforms maintain optimism. They think their unique content and partnerships will keep them going. They believe in the resilience of their models, particularly in serving audiences who are deprived of content that suits them.
There’s a glimmer of hope amid the challenges. The industry is hopeful that consolidation might reduce the cost of acquiring content and enhance advertising rates, potentially benefiting the entire OTT industry.
