MUMBAI: The Indian entertainment industry will grow yearly at the rate of 18 per cent to reach Rs 450 billion in 2009. This data is contained in a report published PricewaterhouseCoopers. The report is titled Indian Entertainment Industry: An unfolding Opportunity and will be released at the Frames Convention on 4 April.
The Indian television industry will be worth Rs 300 billion in 2009. The report notes that the growth will be driven by the launch of new channels and the launch of new formats like reality shows. Subscription revenues will drive growth in this segment. In the short term subscription revenues will gain from improved realisations and an increase in the number of cable and satellite homes.
After that point corrections in the regulatory mechanism will pave the way for addressability and growth in digital distribution. Growth in television advertising is expected to outperform GDP growth by at least five per cent in the coming years.
The study notes that the film industry is being pushed forward by the growth of multiplexes. This has changed the movie viewing experience for consumers. It has also had an impact on the filmmaking business. The film market is expected to expand to over Rs 129 billion in 2009. The report notes that Indian animation rose to its highest levels so far in 2004. It is gaining ground in the outsourcing arena.
Meanwhile an increasing number of downloads of games on mobile phones will open new opportunities for gaming companies. Wireless uptake in India has been growing at the rate of over 80 per cent in the last few years. As far as FM Radio is concerned the expected rationalisation in the license fee structure could see the segment experiencing triple growth. The music and live entertainment sector has grown steadily this year.
PricewaterhouseCoopers India executive director entertainment and media practice Deepak Kapoor said, "Technology will drive the entertainment sphere into the next decade. Its boundaries will be merged with those of the telecommunications and IT segments. This will give rise to a host of value added features for consumers and new revenue streams for players in each segment. Mobile entertainment with its ability to dissect the boundaries of time and space will be the biggest growth driver."
"Content is and will continue to be the king of entertainment in the future. Securing rights over the content will decide the strength of players across segments. The challenge will then be of having a regulatory regime working towards adapting these advancements," he added.
