Reliance and Disney to sell some channels to expedite antitrust approval for merger

New Delhi: Reliance and Disney plan to sell some channels to expedite antitrust approval for their $8.5 billion merger in India but are resisting changes to cricket broadcast rights, according to media reports. 

This merger will create India's largest entertainment entity, competing with Sony, Zee, Netflix, and Amazon, with control over 120 TV channels and two streaming services.

Concerns with the merger

Concerns exist over the merged company's market power, especially in cricket broadcasting. 

The Competition Commission of India (CCI) asked about 100 questions regarding the merger, leading Reliance and Disney to offer to sell fewer than 10 TV channels to address market power concerns, according to reports. 

The focus is on regional language channels where they dominate. 

Issue with cricket rights 

Cricket rights are a key issue since Reliance-Disney will control major leagues, including the IPL, potentially capturing 40% of the advertising market. 

The companies argue that these rights, expiring in 2027 and 2028, can't be sold now.