India’s entertainment and media sector would generate $73.6 billion by 2027.
India’s entertainment and media industry is projected to reach Rs 6,828,944 crore ($73.6 billion) by 2027, with a compound annual growth rate (CAGR) of 9.48 percent, driven by the growth of OTT platforms, according to a report by PwC. The report states that the revenue from OTT platforms surged by 25.1 percent in 2022 to reach Rs 1,48,554 crore ($1.8 billion), which is over six times the revenue of 2018.
It is expected to continue growing at a CAGR of 14.3 percent and generate revenue of Rs 2,88,855 crore ($3.5 billion) in 2027. The SVOD sector, which accounted for 78.1 percent of market revenue in 2022, will be a key driver of this growth. While subscription service revenue will expand at a CAGR of 13 percent, advertising-supported services (AVOD) will grow at a higher rate.
The report highlights the increasing adoption of emerging technologies such as AI/ML and the metaverse, which are expected to disrupt the media industry and expand the use cases. Entertainment & Media companies and content creators are focusing on providing interactive and immersive experiences to viewers, and the report expects enterprises in the media and entertainment sector to invest heavily in transformational ideas to stay relevant to their audiences.
In the video games and esports segment, India’s revenue was Rs 1,40,301 crore ($1.7 billion) in 2022 and is projected to reach Rs 3,46,626 crore ($4.2 billion) by 2027, growing at a CAGR of 19.4 percent. The increased penetration of mobile devices and the use of digital technologies are expected to disrupt existing channels and create new possibilities in the sector.
The Indian Internet advertising market is one of the fastest-growing in the world, with a CAGR of 12.3 percent. Total revenue is expected to climb from Rs 3,63,132 crore ($4.4 billion) in 2022 to Rs 6,51,987 crore ($7.9 billion) by 2027.
The consumer book market in India is projected to grow at a CAGR of 3.7 percent between 2022 and 2027, with total revenue increasing from Rs 90,783 crore ($1.1 billion) to Rs 1,07,289 crore ($1.3 billion).
