Netflix-Warner Bros Merger Could Spell Doom for Indian Theatres, Regional OTT Platforms

Kamal Gianchandani, the president of the Multiplex Association of India, saw the move as impacting revenue, limiting consumer choice, and weakening the broader ecosystem of cinema.

The Wire Staff

Kamal Gianchandani, the president of the Multiplex Association of India, saw the move as impacting revenue, limiting consumer choice, and weakening the broader ecosystem of cinema.

netflix warner bros merger could spell doom for indian theatres regional ott platforms

The logos of Netflix and Warner Bros.

New Delhi: The Multiplex Association of India (MAI) has already expressed deep concern over Netflix’s proposed acquisition of Warner Brothers Discovery, portending a possible setback for India if this comes through, but Indian broadcaster-led streaming platforms could also have reason to worry, according to a report.

The MAI represents multiplex chains across the country. Over the weekend it had cautioned that the merger could disrupt the supply of major studio films to cinema theatres.

Kamal Gianchandani, the president of MAI, was quoted by news outlets as having said that the Indian theatre market "thrives on choice, scale, and cultural diversity" and that Warner Bros. has historically been a key partner to Indian cinemas.

He added that if this acquisition proceeds, the risk is two-fold – "a meaningful reduction in high-quality content for cinemas, and the potential for shortened or non-existent theatrical windows." Gianchandani foresees this as impacting revenue, limiting consumer choice, and weakening the broader ecosystem of film production, distribution, and exhibition in India.

A report on Business Standard, meanwhile, quotes an industry expert observing that the deal may pressure production houses to elevate production values and storytelling quality, pushing regional streaming platforms into a corner.

"With JioStar holding a monopoly in sports, this acquisition will position Netflix as the platform with the strongest recall for movies, originals and global TV content, significantly deepening its catalogue beyond any other competitor," said Karan Taurani, executive vice-president at Elara Capital, told the newspaper. "This may help Netflix raise Arpu (average revenue per user) in a price-sensitive market like India over the near term, supported by a wider content slate and deeper catalogue. Over-all, this is negative for linear TV broadcasters such as Zee Entertainment Enterprises (ZEEL) and Sun TV," he added.

India is not the only entertainment industry worried about the $ 83-billion deal. Many have called it "the end of big-screen cinema" while others have likened it to a textbook case of monopoly – something that means sad days for content consumers.

This article went live on December eighth, two thousand twenty five, at twenty-five minutes past five in the evening.

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