Showing posts with label Rajesh Sethi. Show all posts
Showing posts with label Rajesh Sethi. Show all posts
Netflix casts new spell to take over Warner Bros. Discovery in $83 billion deal
10:32 AM
Warner Bros’ studios, HBO, its streaming app to move hands in cash-and-stock deal
THE ECONOMIC TIMES (December 6, 2025)
Streamer Netflix’s acquisition of the iconic Hollywood Studio Warner Bros. Discovery (WBD) will add muscle and sinews to its content offering, but experts said locking cricket rights that will be up for grabs in 2027 might be a gamechanger on the Indian subcontinent.
Netflix has agreed to acquire WBD in a landmark deal valuing the company at an enterprise value of $82.7 billion and an equity value of $72 billion, after WBD spins off its global television networks into a new listed entity, Discovery Global, giving the streaming giant control over one of Hollywood’s most well-known studios and creating a global entertainment behemoth.
Once the spin-off is completed in the third quarter of 2026, Netflix will take over the Warner Bros. film and TV studios, along with HBO and streaming platform HBO Max. Netflix expects $2-$3 billion in annual cost savings by year three and says the deal will be accretive to GAAP earnings per share by year two. The transaction is targeted to close in 12-18 months.
The deal has also drawn comparisons with Disney’s $71 billion acquisition of 21st Century Fox in 2019, with analysts noting that while the two transactions differ in scope, the Netflix–WBD combination moves Netflix closer to the studio scale Disney reached after the Fox merger.
Analysts say it remains unclear how the deal would affect India, though some note that a larger consolidated content catalogue could shape future licensing decisions.
A few industry observers cautiously add that the strengthened portfolio may, over time, prompt Netflix to reassess broader growth opportunities in the market, including whether to evaluate cricket rights when they come up for renewal in 2027, although there is no indication that the company is considering such a move at this stage.
“The Netflix-WBD acquisition is a watershed moment for global streaming and its ripple effects in India will be profound. Content consolidation will bring HBO’s prestige series and WBD’s blockbuster franchises under Netflix, reducing fragmentation and creating Netflix a premium destination for global hits. Licensing disruption is inevitable as existing deals with other platforms expire, paving the way for Netflix exclusivity. This will drive industry to recalibrate their strategies, focusing on sports rights, regional originals and ad-supported models. Competitive pressures will intensify, driving innovation in pricing, bundling and localized storytelling. This deal definitely accelerates India’s OTT evolution towards a more consolidated and consumer-centric ecosystem,” said PwC India partner and leader for media and entertainment Rajesh Sethi.
“This acquisition gives Netflix access to franchises it has historically lacked, reflecting a strategy similar to Disney’s past content acquisitions such as Marvel and Star Wars. The price is significant, and its impact in India may be limited because the audience for premium HBO content remains relatively narrow. In this market, meaningful scale is unlikely unless Netflix eventually pursues cricket,” said N V Capital managing partner Nitin Menon.
Netflix will pay $27.75 per WBD share, including $23.25 in cash and $4.50 in stock. The sale followed a competitive process involving Paramount Skydance and Comcast.
Reuters reported that preliminary bids in November valued WBD at close to $24 per share for the full group in Paramount’s case, while Netflix and Comcast bid only for the studios and streaming assets. Netflix later raised its offer to about $28 per share for the restructured perimeter.
WBD then enters exclusive talks with Netflix. Discovery Global will house CNN, Discovery, TNT Sports, free-to-air European channels and Discovery Plus, all of which remain outside the deal.
Netflix says the acquisition will provide more choice and greater value by combining complementary strengths. Warner Bros.’ studios and HBO’s premium programming will deepen Netflix’s catalogue, and Netflix plans to preserve the studio’s existing operations, including theatrical releases. The combined slate is expected to boost engagement and revenue, expand Netflix’s production capacity and create more opportunities for creators.
Netflix enters the deal in a position of financial strength. It reported about $39 billion in 2024 and has projected $45 billion in revenue in 2025, has a market capitalization of about $437 billion and trades near $103 a share. Its gross debt is about $14.5 billion, and has cash and equivalents of $9.3 billion. WBD posted about $39 billion in revenue, has a market cap of around $60.8 billion, trades near $24.50 a share and carries gross debt of about $34.5 billion with $4.3 billion in cash, equivalents and restricted cash.
Netflix co-CEO Ted Sarandos said the combined libraries would strengthen its mission to entertain the world, citing classics such as Casablanca, Citizen Kane, Harry Potter and Friends.
“This acquisition brings together two pioneering entertainment businesses, combining Netflix’s innovation, global reach and best-in-class streaming service with Warner Bros.’ century-long legacy of world-class storytelling,” he noted.
“This acquisition will improve our offering and accelerate our business for decades to come,” added Greg Peters, co-CEO of Netflix.
WBD CEO David Zaslav said the merger would extend Warner Bros.’ century-long storytelling legacy. “By coming together with Netflix, we will ensure people everywhere will continue to enjoy the world’s most resonant stories for generations to come,” he said.
The deal will face regulatory review in the United States and Europe. Analysts say the combination of two major streaming services could draw scrutiny. Some have suggested earlier that a Paramount Skydance bid for the entire WBD group might have had a smoother path because it did not merge two large global streamers.
Netflix has about 302 million subscribers globally and HBO Max has about 128 million (including discovery+), giving the combined services roughly 430 million users.
Larry Ellison, co-founder of Oracle, is a key financial backer of Paramount Skydance through his son David Ellison, who took control of Paramount after Skydance’s 2024 merger.
Analysts said Ellison’s longstanding ties to Donald Trump and his political donations could have eased regulatory prospects, although there is no public indication of any official preference.
The restructuring will affect WBD’s India operations. Linear TV channels will move to Discovery Global. WBD had delayed an HBO Max launch in India and instead licensed HBO and Warner Bros. content.
HBO content exited Disney Hotstar in 2023 and moved to JioCinema, now part of the JioStar-led JioHotstar platform. JioStar pays $20 million per year for WBD content. Analysts expect HBO titles to return to Netflix once the multi-year deal ends.
India is not expected to see a major immediate impact from the deal. Netflix has over 20 million subscribers in the market, but HBO and Warner Bros. titles alone are unlikely to shift the competitive landscape because cricket remains the key driver of streaming growth in India and is controlled by JioHotstar, not Netflix.
While HBO series such as Game Of Thrones, Succession and The Last Of Us and Warner Bros. films like Oppenheimer and Barbie have strong followings, their return to Netflix will not materially alter market dynamics. Netflix could make a bid for cricket in India when it comes up for renewal in 2027.
OTTs bet on microdramas to keep viewers glued to screens
10:27 AM
Javed Farooqui (THE ECONOMIC TIMES; May 9, 2025)
Indian over-the-top (OTT) platforms are diversifying their content offerings not just to attract new audiences, but also to retain them in an increasingly competitive landscape.
As user attention spans shrink and viewer fatigue sets in due to content overload, platforms are adopting new content formats to keep audiences engaged. One of the most notable shifts is the anticipated rise of microdramas—bite-sized, mobile-first series that originated in China.
Industry executives note that these tightly packed narratives are designed for on-the-go consumption, aligning perfectly with India’s mobile-first audience. All major OTT platforms are now actively working on their microdrama strategies.
"Microdramas are a natural response to India’s mobile-first audience and evolving viewing habits," says Mautik Tolia, MD of Bodhitree Multimedia. "They offer instant connection and fit seamlessly into our daily lives."
Tolia views the format not as a passing trend but as a foundation for future storytelling, especially in a market defined by linguistic diversity and widespread smartphone use.
While microdramas represent a shift in form, Korean dramas are reshaping content preferences. Prime Video’s recent multi-year deal with CJ ENM highlights the growing demand for K-content in India. Platforms like Netflix already boast strong Korean content libraries, with global hits like Squid Game leading the way.
Amogh Dusad, Director and Head of Content at Amazon MX Player, said that OTT platforms must adapt to evolving audience preferences in a rapidly changing digital landscape. MX Player is placing big bets on Korean dramas, anime, and serialized microdramas through its upcoming ‘MX Fatafat’ initiative, which will feature short, two-minute episodes.
"By experimenting with a variety of genres and formats, we ensure our content reflects the global nature of today’s entertainment while remaining grounded in the tastes and preferences of the Indian audience. As we enter the next phase of growth, we’re also enhancing our library with a wide array of shows across genres," he said.
Meanwhile, Netflix is tapping into nostalgia to expand its viewer base. By adding iconic Indian TV shows like CID, global phenomena like WWE, and comedy programs such as The Great Indian Kapil Show, it is drawing in established fan communities.
“Indian digital and OTT platforms are leveraging Korean dramas and micro content due to their rising popularity, cost-effectiveness, and strong audience appeal,” said media analyst Rajesh Sethi. “K-dramas offer relatable themes, high production quality, and concise storytelling that resonates well with Indian viewers.”
He added that digital platforms benefit from affordable licensing costs, diverse content offerings, and increased viewer engagement—particularly among younger, mobile-first audiences.
For Netflix, content such as CID, The Kapil Sharma Show, and WWE serves to broaden its reach, particularly among audiences in Tier 2 and Tier 3 cities, Sethi said.
According to Media Partners Asia, video content investments are expected to grow from $6.7 billion in 2024 to $8.8 billion by 2028, with online video (excluding sports) accounting for a quarter of that spends.
Regional OTT platforms seek fresh funds to scale up content offerings
7:53 AM
Stage, Chaupal, Aha, Planet Marathi among cos looking to expand into newer markets
Javed Farooqui (THE ECONOMIC TIMES; July 23, 2024)
Regional over-the-top (OTT) platforms, which cater to audiences in specific languages, are seeking capital to ramp up businesses as growth in their primary markets has plateaued, say industry experts.
Regional OTT platforms like Stage, Chaupal, and Aha are in the market to raise fresh capital. Planet Marathi recently raised $5 million from US private equity firm A & MA Capital.
Last year, Stage raised Rs. 40 crore in a funding round led by Blume Ventures. Subsequently, Olympic gold medalist Neeraj Chopra invested an undisclosed sum in the platform, which has raised close to Rs. 15 million till date (as per Tracxn data).
Media expert Rajesh Sethi said investors are showing a keen interest in regional OTT platforms that have established themselves in specific language markets. "However, many regional OTT platforms have plateaued and need to expand into other markets and languages to develop scale. The necessity to scale has prompted regional OTT platforms to scout for fresh funding," he added.
According to the FICCI-EY report on media and entertainment, regional OTT content volumes exceeded Hindi-language content for the first time in 2023.
Akshay Bardapurkar, founder of Planet Marathi OTT, said the recent funding will allow it to diversify its content slate besides investing in marketing and technology.
Chaupal, which has raised $4 million till date (as per Tracxn data), is eyeing a new funding round to fuel expansion into new languages and aid growth. It offers content in Punjabi, Haryanvi, and Bhojpuri languages.
The platform's co-founder Ujjwal Mahajan noted that regional languages have huge diasporic audiences around the world, which presents a huge opportunity to provide these audiences with quality content that is relatable.
"Investors realise that the next phase of growth will come from Bharat, and Bharat speaks in its Maa Boli. This defines the entire thesis for Maa Boli ka Chaupal. Moreover, content costs are way lower for regional languages as compared to mainstream languages," Mahajan said.
Vinay Singhal, CEO and Co-Founder, Stage, which offers Haryanvi and Rajasthani content, said the surge in investor interest in regional OTT platforms in India is due to the vast untapped opportunity in the regional space combined with growing internet and smartphone penetration and the ease of doing digital payments due to UPI.
"This is further fuelled by the rising demand for regional content that resonates with local audiences, as well as the proven success of existing regional OTT platforms," he added.
A case in point is Bengali OTT platform Hoichoi, which has launched in Bangladesh after cementing its position among Bengali audiences in India.
Red-hot OTT market likely to enter consolidation phase
8:52 AM
Javed Farooqui (THE ECONOMIC TIMES; March 28, 2024)
Mumbai: India's booming streaming market, which includes more than 50 OTT video entertainment platforms, is ripe for consolidation as large players look for new growth opportunities and smaller ones crave for fresh funds to survive, say industry experts.
Despite incurring losses, deep-pocketed OTT platforms are continuing operations due to regular fund injections from their parent companies, while smaller rivals are at risk of going out of business due to high capital requirements for content, marketing, and user acquisition, they said.
The small OTT platforms are hence facing two options: get acquired by larger platforms or shut shop due to growing losses as expenses continue to outpace revenues.
Zee Entertainment chief Punit Goenka said consolidation in the OTT industry has to happen since the market can accommodate only a certain number of players. As per Media Partners Asia, India's OTT video market, which generated $3 billion in 2022, is projected to more than double to nearly $7 billion by 2027. "An average subscriber is subscribing to 2.5 OTTs, so from that perspective, consolidation has to happen. It will be either consolidation or some platforms will have to shut shop," Goenka told ET in a recent interview.
Streaming in India continues to be a cash-guzzling business due to high content costs coupled with monetization challenges. India is a price-sensitive market featuring the lowest average revenue per user (ARPU) of $7.2, according to RBSA Advisors, making monetization through subscriptions a challenging task.
Though OTT platforms have made progress in monetizing through advertising, YouTube continues to be the dominant player in the ₹13,000-crore digital video ad market.
The merger of Star India and Viacom18 will make the proposed merged entity a powerful force to be reckoned with in the OTT industry, with two strong platforms in Disney+ Hotstar and Jio Cinema with 333 million and 95 million monthly active users, respectively, for Q4 2023, according to Sensor Tower.
People privy to the developments said South Indian streaming platform AHA is scouting for funds as it needs investments to grow the business. The company has held talks with multiple parties but hasn't been able to any headway so far. Despite recording strong growth, Bengali OTT platform Hoichoi has seen its net worth erode due to accumulated losses of up to Rs. 28 crore, as of March 2023. Balaji Telefilms-owned ALTT and Eros International-owned Eros Now have scaled down their operations due to intense competition.
ZEE5 had recorded cumulative losses of over Rs. 800 crore in 9M FY24. Novi Digital Entertainment, which owns Disney+ Hotstar, incurred a Rs. 748-crore loss in FY23.
Media industry expert Rajesh Sethi believes that consolidation will create a smarter content ecosystem and provide hyperscale revenue opportunities, leading to sustainable profitability. "Most OTT platforms are unprofitable, despite their widespread adoption and borderless consumption. The streaming industry will be shaped by consolidation to achieve competitive scale and efficiency. OTT platforms desirous of a national play will need to provide content in 8 to 10 languages, and each language will further require multiple pieces of fresh content across films and series, which can be achieved by consolidation," said Sethi.
According to Studio Mojo founder Radhakrishnan Ramachandran, the Indian OTT market will witness consolidation since smaller players will find it difficult to match up to the financial might of Disney+ Hotstar-Jio Cinema, Netflix and Amazon Prime Video in the new competitive scenario.
First look: Himesh Reshammiya to kick-start the shoot of his next, Namastey Rome
8:13 AM
BOMBAY TIMES (February 1, 2020)
After Happy Hardy And Heer, Himesh Reshammiya is all set to kick-start the shoot of his next as an actor. Titled Namastey Rome, the film will be directed by Rajesh Sethi, and will see Himesh and Javed Akhtar working together after 13 years. The shoot of the movie begins this summer in the UK.While Himesh plays the male lead, the other cast and details of the project will be announced soon. He says, “Namastey Rome is a classic love story based on real incidents; Javed saab and I were floored by it. The film’s music is also outstanding. In fact, I can proudly say that it’s better than the album of Namastey London (2007), which was the last film Javed saab and I worked together on. This time, too, every word penned by him is sheer magic and all the seven songs in the soundtrack have been composed straight from the heart — just like the way I had composed music for Tere Naam (2003) and Namastey London.
He adds, “I am excited to start shooting for Namastey Rome this summer in the UK and have already started prepping for it. This is the first time I’m doing a film based on a real incident. It’s an extremely relatable subject.” Apart from Namastey Rome, Himesh will also soon start shooting for the sequel to The Xposé (2014).
Himesh Reshammiya returns to the screen with a love story titled Main Jahan Rahoon
3:36 PM
The film goes on the floors on September 27, Yash Chopra’s birthday, and will be shot in Delhi and UK
Natasha Coutinho (MUMBAI MIRROR; April 1, 2019)
Himesh Reshammiya is all set to return as an actor in a film titled Main Jahan Rahoon. Interestingly, the title is borrowed from a song he had composed for the Akshay Kumar and Katrina Kaif-starrer, Namastey London.
The singer-composer is collaborating with Javed Akhtar, the lyricist of Vipul Shah’s 2007 romantic drama, for the film’s album. Rajesh Sethi, who is making his directorial debut with the film, informs, “All seven romantic tracks by the duo are complete. The female lead and other cast are being finalised. We start shooting from September 27, my guru Yash Chopra’s birthday.”
Speaking about the film, Himesh adds, “Namastey London was a fantastic experience and like the previous film, this one too is a pure love story. Javed saab’s lyrics are magical. It’s taken me a year to compose and record them but I know every song will connect with everyone who has been in love.”
As an actor, this is the first time Himesh is doing a pure love story and he has started his workshops with Rajesh. “I can promise you that in terms of visuals and writing, it will be in the zone of a Yash Chopra film. Rajesh ji has developed a sensitive story based on real incidents. We will shoot in UK and Delhi,” he concludes.
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