Amazon has struck a deal to acquire MX Player, a video streaming apps, as part of its ongoing strategy to expand its presence in the country's dynamic digital entertainment market.
Valued at approximately USD 50-100 million, the acquisition is expected to bolster Amazon's existing video services, including Prime Video and MiniTV, as per a media report.
Amazon India will look to enhance the company's offerings with MX Player's extensive library of local originals and exclusive content. The US tech giant plans to retain the MX Player brand post- acquisition, ensuring continuity for its substantial user base.
As of April, MX Player boasted a 15 per cent market share in terms of monthly active users, according to a report by UBS.
Karan Bedi, CEO of MX Player, is anticipated to join Amazon as part of the deal, bringing his expertise and leadership to the tech behemoth's expanding video streaming portfolio. This move is part of Amazon's broader objective of attracting new users to its platform, with the ultimate goal of converting them into Prime subscribers and increasing overall user engagement.
The acquisition comes at a time of heightened competition in India's video streaming market. With prominent players like Reliance's Jio Cinema and Netflix vying for viewers, Amazon's move points to the importance of localised content in capturing a diverse and growing audience. The recent merger of Viacom18 and Walt Disney India, which led to the integration of Hotstar into Mukesh Ambani-led Reliance Industries, further intensifies the competitive landscape.
While Amazon did not disclose the exact size of the acquisition, the deal signifies a strategic push to consolidate its position in India's entertainment sector
