A Major Milestone
India’s media and entertainment (M&E) industry achieved a landmark milestone in 2024, reaching a valuation of ₹2.5 trillion (approximately USD 29.4 billion). This growth highlights the sector’s pivotal role in the nation’s economy and its rise as a global entertainment powerhouse.
Historical Context and Growth Trajectory
The industry’s journey began in 1992 with the launch of Zee TV, marking the entry of private satellite broadcasting. This revolutionized Indian television, paving the way for a diverse ecosystem that now includes television, film, digital media, print, and live events.
In 2024, the sector expanded by 3.3%, adding ₹81 billion despite a slowdown from the 8.3% growth in 2023. Today, the M&E sector contributes 0.73% of India’s GDP, proving its economic importance.
Digital Media Takes the Lead
A major shift occurred in 2024 when digital media surpassed television to become the largest segment, contributing 32% of total revenues. Consumers increasingly prefer online platforms for content, reflecting changing viewing habits.
Factors driving this growth include widespread internet penetration, smartphone adoption, and the rise of OTT platforms. On-demand content, personalized recommendations, and diverse genres attract a growing and engaged audience.
Advertising Revenues and Market Trends
Advertising remains a core revenue stream. Digital platforms drove 8.1% growth in advertising revenues, especially through performance marketing on e-commerce platforms and digital out-of-home (OOH) media.
Traditional media such as TV, radio, and print, however, saw declining ad revenues, signaling a clear shift toward digital dominance.
Live Events and Regional Content
The live events segment grew by 15%, surpassing ₹100 billion for the first time. Concerts, sports, and cultural festivals contributed to this growth, attracting large audiences and substantial spending.
Meanwhile, regional content demand surged, reflecting India’s linguistic and cultural diversity. OTT platforms are increasingly producing content in multiple languages, catering to a broad spectrum of viewers.
Workforce and Employment Opportunities
The M&E sector provides employment for approximately 2.8 million people, spanning content creation, marketing, distribution, and technology roles. Professionals range from directors, writers, and actors to digital marketers and production technicians, showcasing the industry’s multifaceted nature.
Government Initiatives and Policy Support
The Indian government has introduced policies to promote digital infrastructure, incentivize content creation, and improve ease of doing business. These initiatives support growth and encourage investment.
Additionally, programs focused on skill development prepare the workforce to meet evolving industry demands. Such measures align with India’s ambition to become a global hub for media and entertainment.
Investment in Technology and Infrastructure
Investment in high-speed internet, AI technologies, and immersive tools like virtual reality is transforming content creation and consumption.
Modern studios, production facilities, and distribution networks enhance content quality and expand reach. These improvements make India an attractive destination for international collaborations and film productions.
Collaborations and Industry Alliances
Strategic partnerships with global streaming platforms, production houses, and tech firms have accelerated growth. These collaborations facilitate knowledge transfer, access to new markets, and investment inflows.
Industry alliances among content creators, distributors, and advertisers have streamlined operations, fostered innovation, and strengthened business models catering to diverse audiences.
Focus on Content Diversification
Producing content across genres, languages, and formats helps the industry engage broader audiences. Regional narratives reflecting local cultures and traditions are increasingly popular.
This focus on inclusivity not only expands viewership but also fosters a sense of cultural identity and pride among audiences.
Sustainability and Ethical Practices
Sustainability and ethics are gaining prominence. Producers are adopting environmentally friendly practices, promoting diversity, and ensuring fair compensation for talent.
These initiatives enhance the industry’s reputation and align with global trends in responsible media production.
Global Recognition and Export Potential
Indian media and entertainment have gained international acclaim for storytelling, creativity, and production quality. Demand is rising in Southeast Asia, the Middle East, and among diaspora communities.
Exporting content generates revenue and fosters cultural exchange, strengthening India’s soft power globally.
Challenges and Future Outlook
The industry faces challenges such as declining subscriptions in traditional media, the need for localized content, and evolving regulatory frameworks. Innovation, collaboration, and investment in technology are key to overcoming these hurdles.
Looking forward, the M&E sector is expected to grow 7.2% in 2025, reaching ₹2.7 trillion, and may expand at a CAGR of 7% to ₹3.1 trillion by 2027. Growth drivers include digital adoption, regional content, and live event expansion.
Conclusion
India’s M&E sector is at a transformative juncture. With strategic policies, technological adoption, and content diversification, it is poised for sustained economic growth and global recognition. The sector’s trajectory highlights its potential to shape India’s cultural and economic landscape in the years ahead.
