ICC faces broadcast turmoil as JioStar seeks exit from deal ahead of T20 World Cup 2026

The International Cricket Council (ICC) is staring at a major commercial setback after JioStar formally conveyed its intention to exit its long-term media-rights agreement. The deal, which extends until 2027, covers marquee ICC events, including the T20 World Cup 2026 scheduled to be hosted in India. With the World Cup nearing, the ICC is left in trouble to find another broadcast channel for the marquee event.

The global body had already been preparing to float tenders for the 2026–29 media-rights period. Having secured close to $3 billion for the previous cycle, ICC was reportedly targeting around $2.4 billion this time. But JioStar’s abrupt withdrawal has unsettled those plans and injected significant uncertainty into a market already dealing with rising costs and fluctuating advertiser confidence.

In a bid to stabilise the situation quickly, ICC reached out to major potential bidders, including Sony Pictures Networks India (SPNI), Netflix, and Amazon Prime Video. However, all three companies have declined initial engagement, largely due to the financial aspects and the losses. 

However, despite this chaos, ICC still have the rights to enforce JioHotstar to continue with the contract due to the contractual obligations for the remaining period. But reports suggest that the ICC prefers a clean solution that brings in a committed long-term partner rather than forcing a broadcaster.

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Why is JioStar withdrawing?

As per reports, the extreme financial strain and losses are the main reason for JioStar’s exit decision. The broadcaster’s audited standalone financials show that provisions for anticipated losses from sports-content deals surged from ₹12,319 crore to a massive ₹25,760 crore within a single financial year. This sharp increase reflects severe pressure on monetisation and a rapidly growing gap between content costs and recoverable revenue.

The environment for sports broadcasting has also shifted drastically. Long-term rights, once considered prestige assets, have become tougher to monetise due to rising acquisition costs, increased competition, and evolving viewer behaviour. 

Moreover, the ban on fantasy platforms ike Dream11 and My11 Circle have also damaged JioHotstar as they were large advertiser in sports. The ban erased nearly ₹7,000 crore (about $840 million) from projected advertising inflows, significantly diminishing the financial viability of large-scale broadcast deals. Hence, JioStar issued an official notice to ICC for the withdrawl. With the T20 World Cup broadcast in jeopardy, it will be interesting to see who gets to the deal. 

Where to watch the India vs South Africa 1st T20I match?

Cricket fans in India can watch the India vs South Africa 1st T20I match on December 9 online on JioHotstar, via OTTplay Premium.

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