India's Antitrust Body Raises Concerns Over Disney-Reliance $8.5 Billion Merger
The merger's potential control over cricket broadcast rights and advertising market dominance is under scrutiny.
- The Competition Commission of India (CCI) has warned that the merger could harm competition, particularly in cricket broadcasting.
- Disney and Reliance have been asked to justify why an investigation should not be launched within 30 days.
- The merged entity would control significant cricket broadcasting rights, affecting pricing power and advertiser rates.
- Reliance-Disney has proposed selling some TV channels but is unwilling to part with cricket rights, citing contractual limitations.
- Experts suggest the merger could lead to 'almost absolute control' over cricket, with a 40% share of the TV and streaming ad market.