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American Focus > Blog > Entertainment > Asia-Pacific Video Market Set for $16.2 Billion Growth by 2029
Entertainment

Asia-Pacific Video Market Set for $16.2 Billion Growth by 2029

Last updated: January 8, 2025 2:30 am
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Asia-Pacific Video Market Set for .2 Billion Growth by 2029
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Asia’s streaming wars are heating up, with a massive $16.2 billion revenue surge on the horizon through 2029, even as traditional TV faces a steep $8 billion decline, according to a new study from research firm Media Partners Asia (MPA).

India emerges as the powerhouse market in the Asia-Pacific (APAC) region, commanding 26% of projected growth, followed by China (23%), Japan (15%), Australia (11%), Korea (9%), and Indonesia (5%) in what’s shaping up to be a high-stakes battle for viewers and ad dollars.

The study also puts matters in perspective, saying that the size of the U.S. streaming market in 2024, including SVOD, AVOD, User-generated content (UGC) and social video, is $112 billion, while APAC stands at $64 billion. By 2029 the U.S. streaming market size is projected to grow to $140 billion and APAC to $89 billion.

The streaming sector is already showing its muscle, with Netflix nabbing its largest Asian subscriber base in India, while domestic players flex their own strength. “Streaming had quite an impactful year in India,” said MPA executive director Vivek Couto, noting the growth of Netflix and Prime Video alongside JioCinema and Disney+ Hotstar. The Disney-Jio media merger is expected to drive significant growth.

Social video giants aren’t sitting still either, weaponizing AI for content creation and ad targeting. YouTube is diversifying beyond ads into Premium subscriptions and shopping features, while platforms across the board scramble to capture advertising’s 65% contribution to online video growth.

UGC and social video platforms are positioned to capture the largest share of new revenue at $10.7 billion, with SVOD services adding $8.4 billion and premium AVOD bringing in $5 billion. The report identifies YouTube (excluding China), Meta, TikTok operator ByteDance and Chinese platforms as key drivers in the UGC/social segment.

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The connected TV revolution is forcing content strategy shake-ups. “With CTV growing, you’re going to see potential acceleration of people trying to program for families,” Couto said. “It’s not just about sports or personalized entertainment.”

SVOD subscriptions are set to explode to 870 million by 2029, riding the wave of expanding fiber broadband and rising middle-class incomes in emerging markets. Netflix’s India revenue currently sits at under 10% of its APAC earnings, compared to over 20% in Japan – signaling room for growth.

Meanwhile, industry consolidation is picking up steam, particularly in Korea, Japan, and Indonesia. Local players are putting up a fierce fight, with Korea’s TVING “giving Netflix a very strong run for its money,” according to Couto.

The wild card? Retail media’s dramatic rise. “Apart from CTV, retail media is the big thing,” Couto emphasized. “It’s accounting for as much as 50% of new growth over the next four to five years in markets like China, India, Indonesia, Japan, and South Korea.”

As traditional TV providers scramble to adapt, some bright spots remain. “TV channel providers in India generated about $4.5 billion in revenue last year. We see that growing towards $5 billion over the next few years,” Couto noted. “However, the universe has shrunk, and there’s a much more significant transition to streaming.”

The battle lines are drawn as global streaming titans and ambitious local players vie for their piece of Asia’s video streaming gold rush, with profitability and market share hanging in the balance.

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