I&B sector gains ₹552 cr in FDI in Q1 FY 2025–26; Digital M&E deals dominate
During the quarter, most inflows were directed toward greenfield and brownfield investments in advertising and digital entertainment segments, largely involving early-stage companies.
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Foreign direct investment (FDI) inflows into India’s information and broadcasting (I&B) sector, including print media, fell sharply to ₹552.45 crore in the April–June 2025 quarter, down from ₹3,374.73 crore in the same period last year, according to data released by the Department for Promotion of Industry and Internal Trade (DPIIT).
The nearly 84% year-on-year decline highlights a pronounced slowdown in cross-border deal activity across media, advertising and entertainment businesses. This comes after a period of heightened investment activity in 2024, which saw several large-ticket transactions, particularly in streaming and digital media segments.
Despite the short-term decline, the I&B sector continues to be a significant magnet for foreign capital. From April 2000 to June 2025, cumulative FDI inflows into the sector reached USD 11,770.07 million (₹76,143.29 crore), placing it among the top FDI-receiving sectors in India. The sector encompasses television broadcasting, print media, film production, OTT platforms, advertising services, and digital media operations.
Key Deals in April–June 2025
During the quarter, most inflows were directed toward greenfield and brownfield investments in advertising and digital entertainment segments, largely involving early-stage companies.
Inshorts India Advertising and Services, which operates the Inshorts news app and Public social media platform, received ₹125.86 crore in two FDI infusions from its Singapore-based parent, Inshorts Pte Ltd.
Stage Technologies, the operator of OTT platform Stage, attracted around ₹57 crore in funding from global investors including Goodwater Capital V LP (US), TSM Ventures (Singapore), and UnicornDust LLC (US).
Creatormon, which operates creator-focused online platform Wishlink, raised ₹23.24 crore from Elevation Capital VII Ltd (Mauritius).
Wondrlab India secured a total of ₹17.26 crore from Tanas Capital Pte Ltd (Singapore) and Jaroslaw Ziebinski (Poland).
Sony Pictures Films India received ₹42.62 crore from SPE India Films Holding LLC (US) for its film production operations.
IVY Entertainment Pvt Ltd (Delhi) brought in ₹84.75 crore from IVY Entertainment Holdings Ltd (UAE) for its motion picture distribution business. Founded in 2020, IVY has rapidly emerged as a leading studio in southern India, backing over 100 productions across Tamil, Telugu, Malayalam, and Kannada industries.
Reelsaga Innovations Pvt Ltd (Mumbai) raised ₹7.26 crore from investors in Germany, the US, and Singapore.
Indian Premier League (IPL) franchise Chennai Super Kings secured ₹5.58 crore from MPC India Holdings.
Overall FDI Context
India received USD 18.63 billion in FDI inflows during the first quarter of FY 2025–26 (April–June 2025), marking an 18% year-on-year growth. Cumulative FDI inflows since April 2000 have reached USD 1,097,090 million, while equity inflows alone stood at USD 747,510 million. The Services and Computer Software & Hardware sectors continued to dominate the FDI landscape, with the I&B sector firmly positioned within the top tier of recipients.
Mauritius, Singapore, and the United States remain the top three source countries for overall FDI into India. Several of these investors have also been key contributors to I&B investments, channeling funds into television networks, film co-productions, digital news platforms, and streaming ventures.
Within this landscape, the I&B sector continues to play a critical role. Policy reforms over the years—including liberalisation of FDI limits in broadcasting, film production, and digital media—have allowed foreign investors to enter through both the automatic and government routes.
Industry analysts suggest that the Q1 slowdown reflects a cyclical correction after a high-investment year, combined with cautious global capital flows in media and technology sectors. However, the steady inflows into early-stage digital media companies signal continued international interest in India’s growing media consumption market.
With India’s media and entertainment industry projected to cross USD 100 billion in the coming years, experts expect a rebound in investment activity in subsequent quarters, particularly as regulatory clarity improves for digital news and streaming segments.
![“We should protect that [Tata culture] ferociously. The day we lose that… the day we decide to cheat or do something that benefits us and not the customer, we will have lost a very important asset,” late Ratan Tata had said.](https://images.storyboard18.com/storyboard18/2023/08/Ratan-Tata-1019x573.jpg?impolicy=website&width=645&height=363 "“We should protect that [Tata culture] ferociously. The day we lose that… the day we decide to cheat or do something that benefits us and not the customer, we will have lost a very important asset,” late Ratan Tata had said.")
