From Yash Raj Films (YRF) and Zee Entertainment to Saregama, entertainment giants are deepening their presence in emerging digital entertainment formats to build the next generation of intellectual property (IP).
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YRF has invested an undisclosed sum in Gen Z-focused digital-first entertainment company Rusk Media, underscoring how established studios are looking beyond traditional film-making to participate in the fast-growing vertical entertainment economy. It marks the studio’s foray into mobile-first storytelling.
The investment comes days after Rusk Media raised ₹100 crore in a pre-Series C funding round led by Nazara Technologies. Existing investors Info Edge Ventures and IvyCap Ventures also participated, alongside a consortium led by Audacity VC.
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Rusk Media will develop original animation and vertical micro-drama IP for distribution on Alright! TV and global digital platforms. Akshaye Widhani, chief executive of Yash Raj Films, said the investment was driven by changing audience behaviour rather than a shift in YRF’s long-standing focus on theatrical storytelling. He said India’s 377-million-strong mobile-first audience made this the right time for the studio to enter the category. “The world’s best studios evolve with changing audience behaviours. They don’t define themselves by formats or screens. They define themselves by great storytelling, taking compelling stories to audiences wherever they choose to engage,” he said. Last year, Zee Entertainment Enterprises invested in micro-drama platform Bullet and followed it up with an additional commitment of ₹100 crore. The company also made a strategic investment of up to ₹116 crore in Phantom Digital Effects (PhantomFX) to build capabilities across emerging storytelling formats and content creation.
Similarly, Saregama acquired more than 90% stake in Pocket Aces in multiple tranches for an aggregate ₹308 crore to expand its portfolio of digital-first IP and youth-focused content brands. It also fully acquired Finnet Media, a content creation and influencer marketing company, through Pocket Aces. Together, these investments underscore how legacy media companies are repositioning themselves for the next phase of digital entertainment growth by acquiring digital-native capabilities and intellectual property instead of building them from scratch.