Imagine this: two months before a home T20 World Cup, India's favourite streaming giant quietly tells the ICC, "Thanks, but this deal is bleeding money. We're out." Not after the tournament. Not at the end of the four-year cycle. Right when the countdown banners are already up in Indian cities and fans are planning office "sick leaves."
That is roughly the situation global cricket finds itself in
after JioHotstar (Jio + Hotstar) signalled its intention to exit a mammoth USD 3
billion media rights agreement that runs till 2027. The deal was supposed to
guarantee stable coverage of ICC events in India for the 2024–27 period;
instead, it has become a case study in how even blockbuster sports properties
can break a balance sheet.
The USD 3 billion bet that went sideways
What JioHotstar actually signed up for
JioHotstar acquired ICC media rights for India for 2024–27 for about USD 3 billion, with at least one men's ICC event every year. On paper, this looked like a dream portfolio: the T20 World Cup, the Champions Trophy, the Women's World Cup, and other global tournaments in the world's most cricket-obsessed market.
The logic was simple:
- Lock
up premium ICC content in India.
- Use
free or low-cost streaming to attract massive scale.
- Monetise
via ads and cross-sell across the broader ecosystem.
The problem is that the revenue side never kept pace with
the rights cost.
The losses that broke the model
JioHotstar's sports and content contracts saw expected losses jump from INR 12,319 crore to INR 25,760 crore in a single financial year, more than doubling the provisions for anticipated shortfalls. Before the merger with Viacom18, Star India alone had reported a net loss of INR 12,548 crore for the year ended March 2024, largely because of the ICC media rights burden.
In other words, what was once sold as a prestige asset
turned into a financial sinkhole:
- Rights
cost locked in at USD 3 billion till 2027.
- Revenues
that stubbornly refused to match those projections.
- A
loss line big enough to scare even a Reliance-backed entity.
The ad market shock: when your biggest client disappears
overnight
The ₹7,000 crore hole no one saw coming
One of the biggest body blows came from outside cricket: the
Indian government's ban on real‑money gaming apps, which had been the single
largest advertising category in the sport. Platforms like Dream11 and
My11Circle reportedly vanished from the ad roster, creating an estimated gap of
around USD 840 million (roughly ₹7,000 crore) in potential advertising revenue.
For a rights deal already stretched to its limits, that was
the equivalent of losing your best power hitter in the first over.
When high viewership does not guarantee profits
Ironically, JioHotstar was delivering record-breaking
numbers on the user side.
- The
Women's Cricket World Cup 2025 final, won by India, attracted about 185
million users on JioHotstar, matching the ICC Men's T20 World Cup 2024
final.
- Another
92 million tuned in via Connected TV, again equalling major men's events
from 2023 and 2024.
- Peak
concurrency reached around 21 million viewers for Harmanpreet Kaur's
title-clinching catch.
So the eyeballs were there. The engagement was there. What
was missing was monetisation strong enough to justify a USD 3 billion cheque in
a market where ad pricing and subscription willingness have real ceilings.
Why JioHotstar wants out now
The timing: two months before a home T20 World Cup
The ICC T20 World Cup 2026 is scheduled to be hosted by
India and Sri Lanka, with the tournament set to begin in February next year.
Yet, just months before the event, JioHotstar has informed the ICC that it cannot
meet its obligations for the remainder of the contract and wants to exit early
due to mounting financial losses.
From JioHotstar's perspective, this is a classic "cut your losses" move:
- Better
to take a hit now than bleed for two more years on a deal whose economics
no longer work.
- Use
capital on properties with better year-round returns instead of periodic
spikes.
From the ICC's standpoint, the timing is brutal.
The contract trap: exit in theory, obligation in practice
Even though JioHotstar has expressed intent to exit, the company remains contractually bound to honour the deal until a replacement broadcaster is found. If the ICC cannot secure a new partner on acceptable terms, JioHotstar will still have to continue as the rights holder till 2027.
So this is less a clean break and more a high-stakes staring
contest where:
- JioHotstar
is signalling that current economics are unsustainable.
- The
ICC is scrambling to find an alternative without devaluing its property.
ICC's counter-move: a new tender at a lower price
Reopening the India rights market
In response, the ICC has re-started the process of selling
India media rights for the 2026–29 cycle, with a target value of around USD 2.4
billion. That is a clear step down from the USD 3 billion valuation of the
2024–27 package, even though global cricket has remained highly profitable for
the governing body.
To keep its most important market covered, the ICC has
approached:
- Sony
Pictures Networks India (SPNI)
- Netflix
- Amazon
Prime Video
Why buyers are suddenly cautious
The response so far has been lukewarm.
- SPNI,
despite owning major international properties like the Asian Cricket
Council package (around USD 170 million), New Zealand Cricket (about USD
100 million), and ECB rights (over USD 200 million), is reportedly wary of
another big-ticket Indian cricket commitment at current prices.
- Sony
has already had to sub-license digital rights for the India–England Test
series to JioHotstar to reduce its own exposure, a telling sign of financial
pressure in the ecosystem.
- Netflix
is still experimenting with sports and currently has only a WWE deal,
avoiding cricket for now.
- Amazon's
sports play is focused on New Zealand cricket and ICC rights in Australia
until 2027, making another big India entry a tough sell internally.
In short, the buyer universe is smaller, more disciplined,
and far less willing to overpay than in the last rights cycle.
The ICC paradox: surplus for the body, pain for the
broadcaster
While JioHotstar counts its losses, the ICC itself is hardly starving. The organisation recorded a surplus of around USD 474 million in 2024, underlining how the economics of global cricket can be extremely favourable to the governing body even when broadcasters struggle.
This creates a structural tension:
- The
ICC has every incentive to maximise rights fees from India, which accounts
for roughly the majority of its revenue.
- Broadcasters,
however, have realised that paying top dollar in this market can produce
massive losses if advertising categories collapse or user monetisation
stalls.
JioHotstar's move is the most dramatic expression yet of that tension.
What happens if no new broadcaster steps in?
Scenario 1: JioHotstar stays, but sulks
If the ICC fails to close a new deal at a tolerable price, JioHotstar is obliged to continue as the media rights holder until 2027. That would mean:
- Continued
streaming of ICC events on JioHotstar despite heavy losses.
- A
highly cautious stance on marketing spends and possibly tighter cost
controls on production and promotion.
From a fan's point of view, this might look
"normal" on the surface—same app, same tournaments—but beneath that,
the broadcaster would be trying to squeeze every last rupee out of a
structurally unprofitable deal.
Scenario 2: A new broadcaster comes in—at a discount
If the ICC manages to convince Sony, Netflix, Amazon, or
another major player to step in around the USD 2.4 billion mark, several things
happen at once:
- The
ICC locks in continuity and partially de-risks its India revenue.
- The
new broadcaster starts from a lower base, giving it slightly better odds
of turning a profit or at least limiting losses.
- JioHotstar
exits a painful contract and can refocus its sports strategy.
For fans, this might mean yet another app to download,
another set of subscriptions to manage, and another round of "Where is the
match streaming this year?" confusion.
What it means for Indian fans and advertisers
Fans: the streaming merry-go-round continues
For Indian viewers, the story is depressingly familiar:
- Rights
move, platforms change, and loyalties are forced to follow.
- The
same household might have used Hotstar, then JioCinema, then JioHotstar,
and could now be nudged towards a completely different player, all within
a few years.
The risk for the 2026 T20 World Cup is not that there will
be no coverage at all—someone will eventually show it—but that the uncertainty
drags on long enough to impact marketing build-up, platform readiness, and user
experience.
Advertisers: from FOMO to hesitation
Advertisers, especially those planning large T20 campaigns,
now have to adjust to:
- Uncertainty
about which platform will carry the tournament.
- A
rights environment where pricing, inventory, and audience guarantees are
all in flux.
Some brands may choose a more diversified approach—split
spends between TV, digital, and short-form video—rather than over-committing to
one streaming platform before the dust settles.
The bigger picture: India's sports rights bubble meets
reality
JioHotstar's attempted exit is not just a one-off corporate drama; it is a symptom of a broader shift in the Indian sports media market.
Key signals:
- Rights
valuations that looked achievable in a frothy ad market now appear
stretched.
- Major
broadcasters are openly cautious, even with strong portfolios in other
territories.
- Global
streamers are selective, not desperate, about entering cricket.
The message is clear: the era of "growth at any
cost" in Indian sports rights is giving way to a more sober focus on unit
economics and risk management.
Looking ahead: five predictions for cricket's media
future
1. Rights valuations will reset, not collapse
The ICC is already testing a lower price point at USD 2.4
billion for the next cycle, and more such resets are likely. The product is
still premium, but the market will resist numbers that make consistent losses
almost guaranteed.
2. Hybrid models and sub-licensing will become normal
Sony's previous sub-licensing of digital rights to JioHotstar for an India–England Test series hints at the future. Expect more shared deals, hybrid TV–digital structures, and innovative partnerships where risk is spread rather than concentrated.
3. Advertiser mix will diversify beyond "easy
money" categories
With real-money gaming out of the picture, broadcasters will
hunt harder for FMCG, auto, tech, and BFSI brands to fill the gap. This will
take time and may never fully replicate the easy, high-yield spend of fantasy
platforms.
4. Women's cricket will be treated as a serious growth
property
Record-breaking viewership for the Women's Cricket World Cup
2025 final shows that women's cricket is now a genuine driver of eyeballs, not
just an add-on. Future rights negotiations will reflect its standalone value
more explicitly.
5. Fans will become platform-agnostic but
quality-sensitive
Indian fans are already trained to chase the match, not the
logo. However, as each rights shuffle adds friction—new apps, new logins, new
delays—platforms that offer more reliable streams, better interfaces, and fewer
glitches will build long-term trust, regardless of who owns which tournament in
a given cycle.
Actionable takeaways (for fans, brands, and operators)
- Fans: Expect
uncertainty around where the 2026 T20 World Cup will stream, but not
around whether it will stream at all. Keep an eye on official ICC and
broadcaster announcements before locking into long subscriptions.
- Brands: Build
flexible media plans that can be redirected quickly once the rights
situation stabilises. Avoid overcommitting to a single platform until
pricing and inventory are clear.
- Broadcasters/OTT
platforms: Treat this episode as a warning about aggressive
bidding. Model downside scenarios more realistically, especially around
category-specific ad risk, and design deals with built-in protection when
macro or regulatory shocks hit.
Your turn: is this a healthy correction or a crisis?
JioHotstar's attempt to walk away from a USD 3 billion deal just before a home T20 World Cup is dramatic, but it may also be exactly the shock the sports rights market needed. For the first time in a long time, everyone—from the ICC to streamers to advertisers—has to confront a simple question: what is cricket actually worth when the spreadsheet, not the sentiment, gets the final say?
What do you think:
- Is
this a dangerous precedent that could destabilise global cricket?
- Or
a necessary reset that will eventually lead to more sustainable,
fan-friendly deals?
Share your thoughts, predictions, and even your streaming
horror stories in the comments—because if there is one thing more unpredictable
than a T20 chase, it is where the next World Cup will be broadcast.
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