Flipkart is expected to buy a decent stake in Hotstar, Star India’s video streaming service, and like everything else, this too, is for a reason. Flipkart is aiming to leverage the increasing love for videos and streaming amongst the audiences.
The e-commerce giant is in talks but no significant action has been taken. This will also contain exciting offers and news for the users. Hotstar ahas already launched a portal named Flipkart Plus – another reason to make us believe that something good is cooking.
This deal will enable Flipkart to compete with video streaming portals of Amazon and Netflix. The deal is being helmed by chief executive Kalyan Krishnamurthy, who believes that this deal will be a great portal to activate sales.
However, both the parties denied the news and Hotstar spokeswoman said: ‘This query has no basis in facts. No such conversation is happening with Flipkart or any others. We are well resourced and on a velocity of growth that is ahead of almost every other consumer Internet company in India. As flattered as we are by the rumours, the service is too valuable for such conjectures to be even entertained.
Flipkart is very aggressive with its investment and acquisitions. Reports also suggest that the e-commerce giant has bought a stake in BookMyShow. It is diversifying into different realms so that it can offload its pressure on other segments which are only mobile and accessories and fashion.
US-based retailer Walmart Inc. paid ₹ 7,439 crore tax on payments in exchange of buying shares of Flipkart. “Following our Flipkart investment, we have completed our tax withholding obligations under the guidance of the Indian tax authorities. We will continue to work with authorities to respond to their queries,” the Walmart spokesperson said.
Flipkart has already come under the umbrella of Walmart and now it is bringing more companies into its own.