Will the Sony-Zee Merger Be a Turning Point in Indian Media, or Another Milestone in the Decline of Linear TV?

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The Indian media landscape has been jolted by two largely expected, but nevertheless seismic, events in recent days — and aftershocks look inevitable. The proposed merger between local powerh…

Last week’s other tremblor was news from Burbank that Disney+ Hotstar, India’s streaming market leader,following the loss of key sports rights to a competitor. While no surprise, the news confirmed that the Indian streaming market remains a difficult environment to achieve both scale and profitability.

following an interim regulatory report that accused him and Zee founder Subhash Chandra of running the company for their own benefit and “siphoning off” money.has learned that Goenka may be cleared of wrongdoing as early as this week. But even if that transpires, the MIB may take a different view. And Sony Group Corporation may wish to distance itself from any hint of impropriety and install a different management suite.

The merged Sony-Zee entity has the potential to become the No. 2 player in India after Disney Star, according to Karan Taurani, analyst at Elara Capital. “With the talks of Disney having a potential exit from India, if execution is good by the Sony merged company, they might even emerge as the No. 1 player. So, the landscape will become more consolidated as far as the TV business is concerned,” Taurani said.

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