Disney+ Hotstar has revealed a new original series, “The Freelancer,” featuring Mohit Raina and Anupam Kher. Created by filmmaker Neeraj Pandey, the show aims to captivate audiences with its engaging narrative. However, the loss of Indian Premier League (IPL) streaming rights has significantly impacted Disney+ Hotstar’s subscriber base. In the June quarter, a staggering 12.5 million users opted not to renew their subscriptions. This decline has caused the platform’s subscriber count to shrink by 24%, dropping from 52.9 million to 40.4 million. This decrease marks the most substantial decline in any quarter thus far.
The decline in Disney+ Hotstar’s subscriber base has been a consistent trend over recent months. The service had boasted 61.3 million subscribers at the end of September 2022, indicating a loss of more than 20 million subscribers or approximately 34.18% since that time.
The loss of IPL streaming rights in June 2022 played a pivotal role in this decline. Despite Disney’s ₹23,575 crore investment in acquiring television broadcast rights for IPL for five years from 2023, they relinquished the coveted digital media rights to Viacom18, who secured the rights with a ₹23,758 crore bid.
Apart from the IPL, Disney+ Hotstar has also ceased streaming certain popular international content. The removal of 144 HBO originals from Disney Star’s offerings is a result of the company’s decision to not renew its content deal with Warner Bros. Discovery, the parent company of HBO.
In response to these challenges, Disney+ Hotstar has outlined a multi-pronged strategy. The platform intends to bolster its library of local originals, leverage programming from Star India’s satellite TV channels, continue offering beloved Disney franchises, and enhance its sports portfolio with premium cricket, football, and tennis content.
As part of its comprehensive response to these challenges, the company has also announced a reduction in its workforce by 7,000 employees. This workforce reduction is aligned with the company’s goal of achieving $5.5 billion in cost savings across various verticals. Notably, $3 billion of these savings are anticipated to come from content-related efforts, excluding sports.
