Struggling MX Player to offload key assets to Amazon

Amazon.com Inc. is set to acquire some key assets, including the content library, from Times Internet-backed MX Player to bolster its streaming footprint in India.

“We’ve signed an agreement with Amazon. They will purchase some assets from MX Player. The transaction is not yet complete,” Karan Bedi, chief executive officer, MX Player, said in a Townhall on Thursday.

On 29 March, Mint had reported that the e-commerce giant had resumed talks to acquire the cash-strapped video streaming platform almost a year after the initial deal fell through.

Amazon to bolster Indian streaming imarket

While specific details are yet to be revealed, people in the know said that the deal is expected to include the platform, MX Player's existing content library, and select employees. Considering that it is not a full acquisition, the transaction will not cover MX Player’s debt, one of the people said. Further clarity is expected to emerge in the coming weeks, he added.

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“We are always looking for ways to introduce new products and services that help improve customers’ lives. We’re excited to continue to entertain India with the great local originals and exclusive content available across our Prime Video and miniTV services in India,” an Amazon spokesperson said.

Amazon owns Prime Video, a subscription-based video-on-demand (SVoD) service, and Amazon miniTV, an ad-supported OTT platform launched in May 2021. Prime Video caters to higher-paying audiences, offering bundled services including free shipping and ad-free music, while miniTV targets small-town masses and is accessible on the Amazon shopping app both for android phone users and iPhone users.

Amazon strengthens AVoD business with MX Player integration

The integration of MX Player is expected to boost Amazon’s advertiser video-on-demand (AVoD) business.

Initially developed by a South Korean app developer as a media player for downloaded videos, MX Player was acquired by Times Internet in 2018 for ₹1,000 crore ($140 million back then). It was subsequently relaunched as an ad-supported video streaming app, and claims to have over 300 million registered users globally. 

However, despite raising a $111 million funding round led by Tencent in October 2019, MX Player has been struggling financially, unable to generate enough cash. This has prompted Times Internet to sell off parts of its business.

With its customer acquisition strategy not yielding results, MX Player has shifted focus from original content to content syndication through partnerships.

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