OTT set to propel 50% revenue growth in India’s video market: Report
According to a Media Partners Asia report, the video entertainment economy is projected to reach $13 billion by 2028
India's video market is poised for significant growth, driven by premium online video-on-demand (VoD) content.
The video entertainment economy is projected to grow at an average annual rate of 8%, reaching $13 billion by 2028. According to a Media Partners Asia report, streaming services are expected to contribute to half of this new revenue growth.
Titled "Beyond Screens – Streaming VOD's Impact on The Creative Economy," the report highlights the rapid transformation in video consumption patterns and its profound implications for the industry.
“This surge has led to a substantial increase in job opportunities, creating about 174,000 direct and indirect jobs in 2023 alone. The industry's projected growth is expected to open up 280,000 positions by 2028, potentially exceeding 330,000 as demand grows for specialized skills in VFX, animation, subtitling, and dubbing”, claims the report.
The report reveals that while historically, TV has led content investments in the video industry, online video (ex-sports) already claims 24 per cent share in 2024, a 3x increase since 2017, and is expected to touch 30 per cent by 2028.
Further, with streaming revenues equating to 1.5x of movie producers’ net share from theatrical box office, the growth in the video industry holistically is being driven by streaming.
Even allied industries, like telecom, are seeing the impact of video streaming. For instance, video has been the primary driver of data consumption for telcos, representing over 70% of their data traffic.
The study underscores that premium online video now matches other media sectors in investment and significantly impacts the film industry, telecommunications, and related fields. Streaming VoD is not only leading the charge in popularizing local narratives nationwide but also globally, enhancing India's soft power on the global stage.
Content boom
The streaming revolution has sparked an unprecedented content boom, with over 1,500 original titles released across VOD platforms from 2016 to 2023.
By showcasing India's diverse cultures and progressive outlook to audiences in over 190 countries, these platforms are elevating the country's international influence significantly. Leading streaming services such as Prime Video, Disney+ Hotstar, Jio Cinema, Netflix, Sony Liv, and Zee5 are spearheading this cultural exportation, poised to establish Indian content alongside global phenomena like Anime, K-pop, and K-dramas.
Potential untapped
The report underscores the potential of streaming VOD to generate substantial social and economic benefits across creative and allied industries.
“To fully realize this future value, stakeholders must address critical challenges such as expanding production facilities beyond urban centres, fostering infrastructure collaboration, cultivating technical talent through innovative training programs and academic partnerships, and enhancing efforts to combat piracy and protect intellectual property,” it noted.
