Two powerful players are in discussions for collaboration in the Indian over-the-top (OTT) environment, i.e. Amazon Prime Video and ZEE5. The platforms are presently negotiating for a platform agreement, according to a study in the economic times. The study also added quoting an unidentified source that both sides may need a month to reach an agreement.
“A platform agreement is presently being negotiated between the two. It may take a month to achieve an agreement between both sides. There are presently debates about the deal’s structure and distinct models are being studied, “said one of the individuals.
“ZEE5 seeks to grow its video-on-demand (SVOD) subscription company with the agreement,” said the individual. While the spokesman for Amazon India said the business had “nothing to announce,” ZEE5 did not react to it until the release of this article.
Benefits for both Amazon and Zee:
Amazon will contribute more than 1 lakh hours of ZEE local material across Hindi and other regional languages if the agreement passes through. ZEE5 could be introduced or paired with a subscription to the Prime product of Amazon, depending on the contours of the agreement.
The debates also focus on whether to make ZEE5 material accessible as an in-app or app-in-app package and what the revenue sharing model should be, said another person.
Amazon Prime looking to expand with Zee:
Amazon has an optional add-on system called Prime Video Channels in the United States that allows Prime users to carry more stations for an extra monthly charge. These are HBO, Showtime, CBS and more stations.
There was speculation that Amazon could also introduce Prime Video Channels in India, and that ZEE5 could be the platform’s first station.
While there are excellent web manufacturers, content-making capabilities are just one component of the company, a major audio streaming service’s chief manager said.
Buying and maintaining a client and operating an app is an entirely different ball game. Many individuals are now finding out that focusing on material and partnering with other production channels is useful. In addition, having 30-40 OTT facilities in a sector is not viable. These kinds of relationships are also safer for the customer economically,” he said.
Similar agreements in the past:
Hotstar reached a similar agreement with Southeast Asian streaming company HOOQ in October last year, enabling the Star India-owned company to deliver films and TV series of theaters including Warner Bros, Sony Pictures, and producers including Lionsgate and Miramax.