New Delhi: Walt Disney CEO Bob Iger addressed growing speculations about the company’s future in India during an earnings call on Thursday. While Disney’s linear business in India remains profitable, Iger stated that the conglomerate is evaluating its options, given the challenges in other segments of its Indian operations.
“In India, our linear business actually does quite well. It’s making money. But we know that other parts of that business are challenging for us, and we are looking. We’d like to stay in that market, but we also are looking to see whether we can strengthen our hand, obviously, improve the bottom line,” Iger said.
Disney+ Hotstar, Disney’s video-streaming platform in India, reported a decline in subscribers, ending the September quarter with 37.6 million, down 2.8 million from the June quarter. This marks a continuous decline, as the platform had 61.3 million subscribers at the end of September 2022.
The Indian version of the platform is known as Disney+ Hotstar and serves other Asian countries, including Malaysia, Thailand, and Indonesia. In India, Disney Star, a subsidiary of Walt Disney, lost the rights to stream the Indian Premier League (IPL) to Viacom18 last year. Additionally, Disney chose not to renew its deal with Warner Bros Discovery Inc to retain exclusive streaming rights to 144 HBO originals, a move attributed to cost-cutting by media experts.
Iger also highlighted the company’s ongoing restructuring efforts, which have led to significant cost reductions. He mentioned, “The thorough restructuring of our company has enabled tremendous efficiencies, and we’re on track to achieve roughly $7.5 billion in cost reductions, which is approximately $2 billion more than what we targeted earlier this year.” This restructuring has also enhanced Disney’s effectiveness, particularly in the streaming sector, where they’ve adopted a more unified and coordinated approach to marketing, pricing, and programming.
Disney’s future in the Indian market remains uncertain, but the CEO’s statements reflect the company’s determination to find ways to thrive in this populous and dynamic country.
