Times Internet acquires MX Player for $144 million
We’ve heard a lot of rumours about the acquisition of MX Player. So now, Times Internet has confirmed that it bought majority stakes in South Korea’s MX Player. This acquisition came in at a cost of $144 million. Also, this news falls in line with rumour which stated the deal to be around $200 million. Times Internet is planning to build the first digital video streaming platform on the top of MX Player.
MX Player has been already downloaded by more than 500Mn times. There are 350 million users in India. Along with that, there are more than 175 million monthly active users and 65 million daily active users. Times Internet had earlier introduced its very own OTT app BoxTV. But the service ended up shutting down due to the high customer acquisition cost and lack of control over the cost of content. So, with the acquisition of MX Player, this is going to be the second bet for Times Internet in the OTT Segment.
The MX Player would continue to work as an independent entity having teams across India and China. TIL is aiming to build content experience that is designed especially for Indian people. MX Player might soon allow users to stream the entire content on OTT platform. The company’s main focus is on high-quality Hindi and regional production. So, they’re currently investing in premium, original and digital-first content.
This platform is expected to launch more than 20 original shows and about 50,000 hours of premium content. This content would be across all languages and would be launched in its first year in India. Also, just like other streaming services, it would support offline video playback feature.
What the companies’ CEO or Spokesperson had to say?
This is what Gautam Sinha, the CEO of Times Internet said: “With over 400 Mn internet users in India, India presents one of the biggest digital entertainment opportunities in the world. And yet, today, most of the content available is either user-generated or repurposed from broadcast television.”
The MX Spokesperson concurred by saying this: “There is a very large audience and the segment of people who are now using their phones as their primary entertainment device. Most of the content available today is repurposed from TV and is not really created with this large, young audience in mind.”