India's Media Boom: Digital & Traditional Skyrocket Past Global Trends – $47 Billion Future Revealed!

India's Media & Entertainment Sector Skyrockets Past Global Trends

India's media and entertainment industry is experiencing a remarkable growth spurt, outperforming global markets significantly. A new report by PwC highlights that the sector expanded by 11.75% in 2024, reaching a valuation of $32.3 billion, and is forecasted to climb to $47.2 billion by 2029, growing at a compound annual growth rate (CAGR) of 7.8%. This robust expansion is largely driven by the country's vast young population, comprising 910 million millennials and Gen Z consumers.

Digital Media Leads the Charge

The digital segment is identified as the fastest-growing component of India's media and entertainment market. PwC projects digital revenues to soar from $10.6 billion in 2024 to $19.86 billion by 2029. This will elevate digital's share of the total market from 33% to an impressive 42% within five years. Key drivers include a surge in internet advertising, which is expected to nearly double from $6.25 billion to $13.06 billion, propelled by mobile-first consumption habits and performance-based marketing strategies. Over-The-Top (OTT) video streaming is also set for substantial growth, moving from $2.28 billion to $3.48 billion, supported by increased demand for sports content and a rise in regional language offerings.

Traditional Media Shows Unprecedented Resilience

Despite the rapid shift towards digital platforms, India's traditional media sector is demonstrating surprising strength, set to grow at a healthy 5.4% CAGR, significantly higher than the global average of 0.4%. PwC forecasts this segment to expand from $17.5 billion in 2024 to $22.9 billion by 2029. Television, India's largest traditional medium, is expected to see its revenues increase from $13.97 billion to $18.12 billion. Notably, print media continues to defy global trends of decline, showing growth from $3.5 billion to $4.2 billion, driven by strong domestic demand. Cinema revenues, while experiencing a slight dip in 2024, are projected to recover and reach $1.7 billion by 2029.

Gaming Sector Undergoing Transformation

India's gaming sector has witnessed explosive growth, surging 43.9% in 2024 to $2.72 billion. However, it is currently navigating a period of adjustment following the government's nationwide ban on real-money gaming. Despite these regulatory changes, the industry is still projected to reach $3.94 billion by 2029, as companies pivot towards skill-based formats, esports, and ad-supported casual gaming models.

Live Events and Sports Economy

The live events market, particularly live music, is expanding, growing from $29 million in 2020 to $149 million in 2024, with projections to reach $164 million by 2029. This growth is supported by global tours, festivals, and increasing event tourism. India's broader sports economy generated an estimated ₹38,300 crore to ₹41,700 crore in 2024, encompassing revenue from media rights, sponsorships, ticketing, and franchise fees.

Impact

• This news indicates strong investment potential in India's media and entertainment sector.
• Companies involved in digital advertising, OTT, TV, print, gaming, and live events are likely to benefit.
• Investors may see opportunities for growth and diversification within this sector.
• The parallel growth of digital and traditional media offers a unique investment landscape.
• Impact rating: 8/10

Difficult Terms Explained

• CAGR (Compound Annual Growth Rate): A measure of the average annual growth rate of an investment over a specified period of time longer than one year.
• Digital Media: Content consumed via internet-connected devices, including websites, social media, streaming services, and apps.
• Traditional Media: Media formats that do not rely on internet connectivity, such as television, radio, newspapers, and magazines.
• Internet Advertising: Revenue generated from displaying advertisements on websites, apps, and search engines.
• OTT (Over-The-Top): Refers to streaming media services delivered directly to viewers over the internet, bypassing traditional cable or satellite providers. Examples include Netflix, Amazon Prime Video, and Disney+ Hotstar.
• Real-money gaming: Online games where players wager actual money, with the potential to win or lose cash prizes.
• Esports: Competitive video gaming, often played professionally with organized leagues and tournaments.