ZEEL sees broadcast space turning into duopoly, ranks itself second

India’s broadcast sector, according to Zee Entertainment Enterprises Ltd (ZEEL), has now entered a duopoly phase—with ZEEL claiming a 17% share of the TV market and the newly consolidated rival, referred to as “Peer 1”, holding 34%.

In its latest investor presentation, ZEEL highlighted the scale and financial muscle of this rival, backed by a parent group with a market cap of over Rs 20 lakh crore. Amid this shift, ZEEL is positioning itself as the most profitable network and is sharpening its focus on execution to remain a formidable player in the redefined media landscape.

In the document submitted to the BSE on June 20, ZEEL or ‘Z’ (after the rebranding) outlined its position and strategy in the evolving media and entertainment landscape and stated that the broadcast market has effectively become a duopoly between itself and Peer 1.

It said that Peer 1 benefits from the backing of a parent group with a market capitalisation of over Rs 20 lakh crore and has received a capital infusion of Rs 12,000 crore from its largest shareholder and is expected to invest over Rs 85,000 crore in content over a three-year period besides enjoying the advantage of an integrated ecosystem spanning telecom, OTT, and cable distribution.

Despite being smaller in scale and without a presence in sports broadcasting, ZEEL positioned itself as the most profitable network in the sector. It said it is actively executing a multi-year growth strategy to deepen its presence in general entertainment and maintain its competitive standing in the changing media and entertainment landscape.

ZEEL reported cash and cash equivalents worth Rs 2,406 crore and said it aims to build a strong cash reserve to compete more effectively and proactively manage any sudden shifts in the market.

The company noted that the traditional boundaries between media platforms are increasingly blurring, with major players shifting to a full-stack model that combines linear TV channels with digital offerings.

ZEEL acknowledged that both domestic and international digital platforms are heavily investing in content, particularly in general entertainment and sports, to grow their subscriber base. There is also a growing focus on short-form content, driven by its popularity and the growing influence of social media in content consumption. ZEEL said this shift presents an opportunity for production houses to monetize content across both traditional and emerging platforms.

ZEEL emphasised its identity as a complete media and entertainment flywheel, with strong verticals in TV, digital, music, movies, and syndication.

With a history of producing quality content across formats and supported by an experienced management team, ZEEL said it is now positioned to become a leading and profitable OTT player, having completed its initial investment phase. The company highlighted synergies across its business verticals and said it aims to implement a comprehensive strategy for reach, distribution, and monetisation across TV, OTT and studios.

ZEEL said it is also expanding into new business lines by leveraging its entrepreneurial spirit while remaining rooted in the content ecosystem. The company said its healthy balance sheet, track record of profitable growth, and enhanced cost leadership will help drive future growth.

The presentation also detailed several growth initiatives. ZEEL is building new business verticals such as micro dramas, user-generated content, live events, edutainment, and emerging sports to expand its audience and diversify revenue streams. It is also working on developing a new distribution model to reach a larger viewer base. The company said it is increasing its investments in long- and short-form content to cater to different age groups, as well as investing in media-tech to improve viewing experiences. ZEEL is open to inorganic growth through acquisitions or strategic partnerships, especially in high-growth areas like digital and music.

The company laid out a clear growth framework, stating that all initiatives will be central to its core business, scalable, and value-accretive. ZEEL said the capital deployed in these initiatives is aimed at enhancing profitability within three years and surpassing its highest ever earnings per share of Rs 16.5, achieved in FY2019.

For FY26, ZEEL said it is targeting breakeven for its digital platform ZEE5, which posted EBITDA losses of Rs 548 crore in FY25. The company said it will focus on strict execution of its business plan, strengthen its human resource capabilities, and continually assess the competitive environment and emerging market opportunities. It also aims to maximise treasury income from its cash reserves.