JioStar Seeks Exit From ICC Media Rights Deal

Reliance-controlled JioStar has formally notified the International Cricket Council (ICC) that it cannot service the remaining two years of its four-year India media-rights contract, citing heavy financial losses that have made the deal commercially unviable, as per the Economic Times (ET).

As a result, the ICC has initiated a fresh sale process for the 2026–29 India rights cycle and is seeking around $2.4 billion. For context, the existing 2024–27 cycle is valued at $3 billion and includes one major men’s tournament each year, according to officials that the Economic Times has quoted. 

With JioStar signalling its intention to exit a contract that runs until 2027, the ICC has approached Sony Pictures Networks India, Netflix and Amazon Prime Video to assess their interest in taking over the rights. However, none of the platforms has so far shown substantive interest because of pricing concerns. Notably, if the ICC is unable to find a new broadcaster, JioStar will still have to fulfil the contract till 2027.  

Financial disclosures also underline the scale of the broadcaster’s strain. JioStar more than doubled its provisions for losses on onerous sports contracts to Rs 25,760 crore in FY25, up from Rs 12,319 crore a year earlier, according to its audited standalone financials. Despite these pressures on broadcasters, the ICC itself recorded a $474 million surplus in 2024.

Why Is JioStar Backing Out?

JioStar’s retreat reflects a broader correction underway in India’s sports broadcasting market. Most critically, the ban on real-money gaming (RMG), previously the single biggest category of cricket advertisers, has created an estimated $840 million (around Rs 7,000 crore) annual advertising gap that no other sector has been able to fill, executives told the Economic Times. Although traditional advertisers have returned, revenue has not recovered to prior levels, they added. At the same time, structural challenges remain. These are a subdued advertising sector, linear television facing pressure from a shrinking pay-TV subscriber base, and streaming businesses continue to operate at a loss, according to executives quoted by ET.

The 2025 prohibition on RMG and associated advertising in India has delivered a major jolt to the country’s sports advertising industry. Industry insiders estimate that the ban threatens to wipe out roughly Rs 10,000 crore from India’s ad-expenditure (AdEx), much of which previously flowed through RMG and fantasy-gaming platforms. The impact is especially acute for the Indian Premier League (IPL) and broader cricket sponsorship, with forecasts of a 25 % plunge in IPL advertising revenues, equivalent to around Rs 1,500 crore. 

Zee backtracking, US dollar exchange rates affecting JioStar fortunes

And in JioStar’s context, the media conglomerate has inherited a deal many industry leaders view as overpriced. Several senior executives consider the $3 billion ICC valuation to be disconnected from market benchmarks, with rival bids for the package being substantially lower.

Compounding the burden, Zee’s collapse of a parallel $ 1.5 billion TV rights arrangement left JioStar solely responsible for the contract, leading the broadcaster to initiate arbitration proceedings and claim nearly $1 billion in damages.

Finally, currency pressures have worsened the picture. To explain, ICC payments are US dollar-denominated, and the weaker standing of the Indian rupee has increased JioStar’s effective liability to roughly $3.3 billion. For context, the US dollar’s exchange rate vis-a-vis the Indian rupee has crossed the Rs 90 threshold.

Prasar Bharati Exploring ICC Media Rights Bid

According to BestMediaInfo, India’s public broadcaster Prasar Bharati is evaluating a potential bid for the ICC’s India media rights amid uncertainty over JioStar’s ability to continue servicing its existing contract. An official cited by the publication said the broadcaster is “closely assessing the situation” as the ICC prepares to restructure and resell parts of its rights package for the 2026–29 cycle.

Rather than pursuing the full bundle, Prasar Bharati is reportedly considering selective participation, focusing on marquee properties such as India-specific matches or major ICC tournaments that can be strategically important for mass reach. The ICC may split rights tournament or format-wise to make packages more affordable and attractive to a wider pool of buyers, which in turn could enable the public broadcaster to step in within its financial constraints.

At the same time, Prasar Bharati is reviewing its operational and budgetary capacity across platforms, including Doordarshan, the DD Free Dish DTH (direct-to-home) service and its OTT (over-the-top) offerings, before deciding whether to submit a formal bid.Notably, discussions remain at an exploratory stage, and no decision has been taken yet on participation.

The BestMediaInfo report also situates Prasar Bharati’s interest within the framework of the Sports Broadcasting Signals (Mandatory Sharing with Prasar Bharati) Act, 2007. Under the law, private rights holders must share a clean feed of sporting events deemed to be of national importance with Doordarshan, along 25% of advertising revenue, to ensure universal access.

However, the law that was created after the advent of auctions and bidding, where the public broadcaster could not compete financially, applies only to linear television and not digital streaming. Importantly, officials are said to be reassessing this legal gap as the rights landscape shifts.

Sports Broadcasting Market In India

Notably, cricket still anchors India’s sports broadcasting economy, but the numbers now look stretched. The IPL’s 2023–27 media rights were sold for around Rs 48,390 crore, making it one of the world’s most expensive sports properties on a per-match basis.

Advertisements

The ICC’s 2024–27 India rights package, valued at around Rs 2.6 lakh crore, relies overwhelmingly on this market, with India contributing nearly 80% of the ICC’s revenue. Yet, even as global cricket rights remain inflated, Indian broadcasters face shrinking pay-TV bases, loss-making streaming and an advertising hole after the RMG ban.

Beyond headline-attracting cricket deals, the wider sports economy keeps expanding. For context, KPMG estimates India’s sports industry’s size at about Rs 1.3 lakh crore in FY24–25, growing 12–14% annually and projected to reach Rs 3.4 lakh crore by 2030. Here, cricket will still continue contributing nearly 80%, but other leagues such as kabaddi, badminton (Premier Badminton League), kho-kho and emerging athletics formats are steadily rising. 

How Are Sports Apart From Cricket Faring In India?

Indian football is in a precarious position at the moment. Viacom18 agreed to pay about Rs 550 crore for Indian Super League (ISL) rights across the 2023–24 and 2024–25 seasons. However, last month the All India Football Federation (AIFF) failed to attract a single bid for a 15-year ISL commercial-rights tender, and executives estimate the league ecosystem has already lost over Rs 5,000 crore, raising serious doubt over its future funding and viewership.

With a new tender failing to take off even after the previous deal expired, the subsequent ISL cycle currently has no confirmed commercial or broadcast partner based on the rights timeline and tender outcome.

Elsewhere, other non-cricket properties retain broadcast visibility but remain commercially modest by comparison. To explain, the Pro Kabaddi League’s media rights deal signed in 2021 with Star India, was valued at roughly Rs 180 crore per season between 2021 and 2025. 

Why This Matters

JioStar’s attempt to exit its ICC contract marks a turning point for India’s sports broadcasting market. For years, broadcasters chased premium cricket rights at almost any cost, betting on endless advertising growth and rapid digital scale.

However, the collapse of RMG-related advertising, combined with subscriber erosion on linear TV and ongoing streaming losses, is now forcing a hard reset. Consequently, even marquee assets such as ICC tournaments no longer guarantee commercial stability.

At the same time, the ICC’s push to resell rights exposes a growing mismatch between global valuations and India’s ability to monetise them domestically. If major platforms continue to baulk at current pricing, it could translate into weaker bidding cycles ahead, potentially reshaping how cricket is funded and distributed.

Moreover, the ripple effects extend beyond cricket. Football and other domestic leagues already struggle to secure long-term broadcast partners, and tightening advertising budgets risk shrinking the commercial runway for non-cricket properties even further. Furthermore, this could slow investment in grassroots development and league expansion, reinforcing cricket’s dominance rather than diversifying India’s sporting ecosystem.

Ultimately, the JioStar episode highlights a structural recalibration: sky-high rights valuations built on aggressive growth assumptions are colliding with tougher revenue realities. For broadcasters, leagues and regulators alike, this episode raises uncomfortable questions about market sustainability, advertiser dependence, and whether India’s sports media boom has outpaced its underlying economic foundations.

Also Read: