ICC Media Rights Under Pressure as JioStar Plans Exit Before T20 World Cup 2026

As per news report, the International Cricket Council is facing a significant commercial challenge as JioStar, a media unit of Reliance Industries, seeks to exit its India media rights deal just ahead of the ICC Men's T20 World Cup 2026, citing major financial losses. 

JioStar Informs ICC of Exit Over Media Rights Losses 

JioStar, the entity formed after the merger of Star India and Viacom18, has officially informed the ICC about its inability to continue with the $3 billion India media rights deal that runs until 2027.  

In its 2024-25 financial statements, the company disclosed provisioning of ₹25,760 crore for losses on onerous sports contracts, more than double the ₹12,319 crore the year before. The bulk of the provision is attributed to its ICC deal. 

This unexpected development has forced ICC to initiate a new sale process for the 2026-29 rights, aiming to fetch around $2.4 billion. However, response from prospective players such as Sony Pictures Networks India, Amazon Prime Video and Netflix has been muted due to pricing concerns. 

India’s Advertising Market and Dollar Pressures Intensify Trouble 

India currently contributes nearly 80% of ICC’s revenue, making the media deal crucial. A key hurdle has been a steep ₹7,000 crore drop in advertising from real-money gaming, previously the sport’s top advertiser. Although legacy brands are returning, they haven’t matched the scale required to offset losses. 

Additionally, the dollar’s rise beyond ₹90 has increased JioStar’s liability to an estimated $3.3 billion in effective terms, since payments are tied to US currency. The financial impact was worsened after Zee Entertainment backed out of its ₹1,500 crore commitment for ICC television rights, compelling JioStar to drag Zee to arbitration in London, seeking nearly $1 billion in damages. 

Read More: Reliance Industries Share Price in Focus as Subsidiary Acquires 49% Stake in Oval Invincibles! 

Limited Interest from Streaming and Broadcasters 

While the ICC remains profitable posting a $474 million surplus in 2024, its dependence on the Indian market means securing consistent broadcaster support is essential.  

However, platforms like Amazon Prime Video and Netflix have shown limited interest due to cost concerns and focus on alternative content strategy. SPNI remains cautious, already holding rights worth $470 million across various boards. 

Conclusion 

The ICC's ongoing media rights issue reflects stress across India’s sports broadcasting sector. JioStar's plan to exit the $3 billion deal highlights revenue volatility and advertising pressures. With limited alternative suitors at current rates, the ICC faces challenges in finalising a new partner ahead of its key 2026 event. 

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