The Research Indicates That the Total Revenue of the Worldwide Media and Entertainment Industry is Expected to Reach a Staggering $3.5 Trillion by the Year 2029
Global Entertainment and Media Industry Set for Rapid Growth, Driven by Digital Advertising
The entertainment and media (E&M) industry is poised for significant growth over the next five years, with total revenues projected to reach $3.5 trillion by 2029. According to PwC, advertising will be a key contributor to this growth, accounting for a substantial portion of the industry's revenue.
One of the fastest-growing areas within advertising is digital video advertising, particularly linked to Over-The-Top (OTT) streaming platforms. The increasing popularity of OTT services, such as Netflix and Amazon Prime, is driving demand for advanced content delivery capabilities, creating new advertising monetization opportunities with higher engagement and premium ad formats.
The Content Delivery Network (CDN) market, essential for streaming infrastructure that supports digital advertising reach and quality, is expected to grow at an 11.26% CAGR from 2025 to 2030. This growth indirectly boosts advertising revenues in streaming and live digital events by enabling higher quality and lower latency content delivery.
Advertising revenue is forecasted to rebound and grow after crises, with ad spend expected to increase alongside the overall expansion of digital and streaming media. Although no precise CAGR figure is given for ad revenue alone, the combination of a $1.1 trillion ad revenue forecast for 2025 and the strong growth in digital content points to digital advertising segments growing fastest.
Live event promotion, while not solely advertising-driven, also sees robust growth. The concert and event promotion market has grown rapidly in recent years and offers new advertising opportunities in live entertainment sectors. Regulatory and platform changes may diversify advertising avenues in live event promotions, offering new growth potential.
In developing markets, such as India and Indonesia, internet advertising is growing at a CAGR of over 15%. Connected TV ad revenues are also expected to rise, accounting for 45% of traditional broadcast TV advertising by 2029. Digital formats will account for 80% of overall ad revenue by 2029, with new technologies like AI and hyper-personalization driving this growth.
The E&M industry is expected to grow at a compound annual growth rate (CAGR) of 3.7% until 2029. Non-digital revenue, including live music, events, and cinema box office, accounted for 61% of consumer revenue in 2024 and is expected to remain at a broadly similar level through the forecast period. However, the growth trends in digital advertising suggest that traditional formats may be outpaced in growth by digital advertising segments through 2029.
In conclusion, the fastest growing advertising-driven revenue metrics in the global entertainment and media industry focus primarily on digital video advertising linked to OTT streaming platforms, supported by the growth of content delivery infrastructure that enables premium, low-latency ad experiences. Live event promotion advertising also sees robust growth connected to rising concert and event attendance. Overall, advertising growth aligns with the expanding digital consumption trends within the E&M ecosystem.
[1] PwC (2021). Global Entertainment & Media Outlook 2021-2025. [online] Available at: https://www.pwc.com/gx/en/services/deals/media-entertainment/global-entertainment-media-outlook.html
[2] PwC (2021). Live events: The new normal. [online] Available at: https://www.pwc.com/gx/en/services/deals/media-entertainment/live-events-the-new-normal.html
[4] PwC (2021). Global Entertainment & Media Outlook 2021-2025. [online] Available at: https://www.pwc.com/gx/en/services/deals/media-entertainment/global-entertainment-media-outlook.html
[5] PwC (2021). Global Entertainment & Media Outlook 2021-2025. [online] Available at: https://www.pwc.com/gx/en/services/deals/media-entertainment/global-entertainment-media-outlook.html
- The entertainment and media industry's digital advertising sector is forecasted to experience a substantial growth, contributing significantly to the industry's overall revenues.
- One of the most dynamic areas within digital advertising is the increasing use of advanced content delivery capabilities for digital video advertising, especially with Over-The-Top (OTT) streaming platforms.
- The Content Delivery Network (CDN) market, critical for OTT and streaming infrastructure, is projected to rise at an 11.26% CAGR until 2030, boosting the ad revenue in streaming and live digital events.
- Despite the ongoing crises, advertising revenue is expected to bounce back and grow alongside the expansion of digital and streaming media.
- Live event promotion, though not purely advertising-centered, is witnessing substantial growth, providing fresh avenues for advertising in live entertainment sectors.
- In rapidly developing markets like India and Indonesia, internet advertising is expanding steadily at a CAGR greater than 15%, while connected TV ad revenues are expected to constitute 45% of traditional broadcast TV advertising by 2029.
- By 2029, digital formats will account for 80% of overall ad revenue, with emerging technologies, such as AI and hyper-personalization, driving this expansion in the global entertainment and media industry.
