In recent news, Zee Entertainment (ZEEL) in India has reduced its workforce at the Technology & Innovation Centre in Bengaluru by approximately half. This decision was made in an effort to cut costs, following recommendations from a company-formed review panel. The managing director and CEO, Punit Goenka, made the final decision to implement these changes.
The review panel, which included company chairman R. Gopalan and audit committee chairman Prakash Agarwal, recommended that Zee should reduce losses in its businesses, such as English-language TV channels, and trim costs in other areas to meet a crucial profit target. As part of this plan, the committee advised cutting costs at the technology and innovation centre by half by fiscal 2025, compared to the previous annual cost of 6 billion rupees ($72 million).
Zee Entertainment is facing challenges not only from legal battles regarding failed deals with Sony and cricket, but also from new competition stemming from the merger of Disney DIS and Reliance RELIANCE1! in India. This merger has created an $8.5 billion media powerhouse, adding further pressure on Zee in the highly competitive media industry. ($1 = 83.3410 Indian rupees)
