Below the restructuring, International Networks will home leisure, sports activities and information tv manufacturers akin to CNN and Discovery, together with digital merchandise together with the invention+ streaming platform. The newly fashioned Streaming & Studios entity will comprise Warner Bros. Movement Image Group and DC Studios, which can proceed releasing their movies theatrically in India.
David Zaslav, president and CEO of Warner Bros Discovery, stated in a worldwide launch, “By working as two distinct and optimised corporations, we’re empowering these manufacturers with the sharper focus and strategic flexibility they should compete most successfully in right now’s evolving media panorama.”
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“This separation will invigorate every firm by enabling them to leverage their strengths and particular monetary profiles. This may also permit every firm to pursue vital funding alternatives and drive shareholder worth,” added CFO Gunnar Wiedenfels.
India playbook challenges
The separation might permit Warner Bros Discovery to speculate extra aggressively in OTT in India, particularly in subscription-based fashions. Nonetheless, the challenges are a lot.
At the moment, the corporate solely runs the invention+ streaming service in India, whereas syndicating most of its mental property (IP) to JioHotstar. Consultants imagine that the platform, now free from having to serve conventional TV audiences, might lean into daring, edgy content material aimed toward youthful demographics.
“The digital enterprise isn’t large in India, and it must present income now,” stated Girish Dwibhashyam, streaming business skilled and former vice-president and chief working officer of DocuBay, a documentary streaming service.
“The break up might rejuvenate their investments in OTT however it might additionally convey down their negotiating energy with Web Service Suppliers (ISPs) and aggregators for distribution partnerships since it might now not come below the identical umbrella as broadcast,” he added.
Whereas Warner Bros Discovery has dabbled in infotainment, science, and mythology in India, Dwibhashyam sees room for extra daring content material experiments. On condition that they now not have the luggage of manufacturing the identical programming for each TV and OTT, the corporate might discover edgier themes, he stated.
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Vinay V. Singh, managing director (USA), Primus Companions, added that the corporate might now double down on high-quality originals and world codecs.
“These are key to capturing Indian millennials and Gen Z in a fiercely aggressive OTT panorama,” he stated.
Singh additionally stated HBO-branded content material, at present out there by way of video-on-demand by means of partnerships like JioHotstar, could acquire extra muscle with renewed world backing.
Regardless of the digital optimism, linear tv stays dominant in India, particularly in smaller cities and non-English-speaking markets.
Nonetheless, if different world media giants comply with Warner Bros Discovery’s decoupling technique, standalone TV models might have to lift advert or subscription charges to stay viable. This might additional drive viewers towards cheaper OTT platforms, together with people who depend on advertising-based video-on-demand (AVoD).
Business consultants anticipate that the decoupling development might push streaming corporations to innovate their pricing fashions. Anticipate bundles that embrace native originals, micropayments, advert insertions, and dynamic pricing to spice up attain whereas defending common income per person (ARPU).
Subscription blues
But, streaming monetization stays a hurdle in India. In keeping with a report by Ormax Media, India’s video streaming viewers stood at 547.3 million, however energetic paid subscriptions stagnated at 99.6 million. Notably, the SVoD (subscription video-on-demand) viewers declined by 2% in 2024, even because the AVoD base grew by 21%.
“International corporations haven’t actually seen India as a scorching market. Plus, there isn’t actual worth in SVoD but,” stated Sunil Lulla, founder, The Linus Adventures.
Warner Bros Discovery has additionally avoided totally adopting the ad-supported mannequin in India. Final 12 months, Sai Abishek, head of factual and life-style cluster, South Asia, had stated the platform would proceed to focus totally on a subscription-driven mannequin.
What’s subsequent
Whereas Warner Bros Discovery declined to touch upon Mint’s queries for this story, business watchers say the corporate’s strategic break up may very well be a reset second for its India plans.
Nonetheless, competing in a saturated market—dominated by gamers like Netflix, Amazon Prime Video, ZEE5, and SonyLIV—will demand extra than simply capital. It is going to require sensible partnerships, platform innovation, and the braveness to guess large on differentiated content material.
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