MPA Predictions India's Video Entertainment Ecosystem to Reach $13 Billion Revenue by 2028

Media Partners Asia reports says, the Video entertainment industry is forecasted to grow at an average annual rate of 8%, reaching $13 billion by 2028. Streaming video on demand (VOD) is expected to come up with remarkable growth, accounting for half of the new revenue generated.

The report, titled ‘Beyond Screens: Streaming VOD’s Impact on India’s Creative Economy’, predicted that premium online video income in India is guessing to increase to $3.7 billion by 2028, up from $1.7 billion in 2023.

Premium VOD platforms bring entertainment, sports, and news content to people through subscription, advertising, and hybrid models. India was home to nearly 60 streaming platforms until 2023. 

Premium VOD platforms spent $2.2 billion on local content across entertainment and sports in 2023. It projected that by 2028, online video entertainment could potentially account for 30% of the video industry’s total content investment, with expenditures reaching $2.26 billion.

Investment in original online video shows is expected to grow to $1.2 billion by 2028, from $479 million in 2023.

According to the report, spending on over-the-top (OTT) entertainment content is closing the gap with pay TV, which has traditionally  dominated video content investments.

The Streaming VOD has generated approximately 174,000 direct and indirect jobs, with the potential to nearly double employment opportunities by 2028. Streaming clash now extends well beyond the creative industry to encompass related sectors such as telecom, broadband, pay TV, VFX, animations, tourism, and hospitality. 

Video consumption has been the primary driver of data usage for telcos, constituting more than 70% of their data traffic. 

The report also highlighted that streaming has emerged as a crucial revenue source for film producers, generating revenue equivalent to 1.5 times their net earnings from theatrical box office receipts.From 2015 to 2023, India’s leading six streaming platforms- Disney+Hostar, Prime Video, Netflix, Sony LIV, Zee5, and Voot/Jio Cinema-jointly released approximately 1,000 original titles, totaling nearly 4,000 hours of original content.