• Global entertainment & media (E&M) industry revenues rose 5% to US$2.8 trillion in 2023 and projected to hit $3.4 trillion in 2028
• Advertising revenues projected to top $1 trillion in 2026, with revenues in 2028 to represent double the revenues of 2020
• Streaming service usage and uptake continues to rise, but market players look to consolidation, live sports, password-sharing crackdowns and ad-based revenue to drive growth as industry competition intensifies
• Gaming remains among the fastest growing E&M sectors globally: largely driven by Asia-Pacific, revenue expected to top $300 billion in 2028. In-person events such as global cinema projected to return to pre-pandemic levels as live-music buoyed by global tours
• Global E&M industry looks to Generative AI to drive new revenue streams and transform business models

Despite economic headwinds, technological disruption, and increased geographic and industry competition, the global entertainment & media (E&M) industry has continued to grow in 2023. According to PwC's Global Entertainment & Media Outlook 2024-28, total revenues rose by 5% in 2023 to US$2.8 trillion, outpacing overall economic growth. The report, covering 11 revenue segments across 53 countries and territories, projects global E&M revenues to hit $3.4 trillion by 2028, with a compound annual growth rate (CAGR) of 3.9%.

• Advertising Revenue Growth:

  • Advertising revenue is projected to hit $1 trillion by 2026.
  • Advertising will account for 55% of total E&M industry revenue growth over the next five years.
  • Internet advertising grew by 10.1% in 2023 and is expected to rise at a 9.5% CAGR through 2028, making up 77.1% of total ad spending.

• Streaming Services Adaptation:

  • Streaming services face increased competition and challenges in consumer uptake.
  • Global subscriptions to over-the-top (OTT) video services are expected to rise to 2.1 billion in 2028 from 1.6 billion in 2023.
  • Streaming services are exploring new revenue models, including ad-based variants, live sports, and cracking down on password-sharing.

• Regional Market Insights:

  • The US remains the largest market for consumer spending and advertising, with a 4.3% CAGR to 2028.
  • Rapid growth is seen in China (7.1%), India (8.3%), Indonesia (8.5%), and Nigeria (10.1%).

• Gaming Industry and Live Events:

  • The gaming industry continues to grow, with revenues reaching $227.6 billion in 2023 and expected to top $300 billion by 2027.
  • Asia-Pacific is the largest regional market for gaming, expected to reach $181.8 billion by 2028.
  • Live music and cinema are key growth sectors, with significant increases in revenue from events and box office sales.

• Technological Disruption and Opportunities:

  • The E&M industry is leveraging new and emerging technologies like Generative AI.
  • Businesses must innovate to stay competitive, focusing on value creation through technology.
  • Generative AI can enhance advertising and drive new business models and creative processes.

The global E&M industry demonstrates resilience and growth despite various challenges. Key drivers include advertising revenue, adaptation of streaming services, regional market expansions, and technological advancements. Companies must continue to innovate and leverage new technologies to capture their share of the growing revenue pools and meet evolving consumer demands.