New media space in India is growing by leaps and bounds, with an ever-increasing rise in internet penetration supported by the affordability and aspiration of its citizens.According to a joint report by industry body FICCI consultancy services firm EY, by 2027, new media (digital as well as online gaming) will comprise 46 per cent of media and entertainment sector revenue, while traditional media (TV, print, film, radio, and Out-of-Home (OOH) will contribute 41 per cent of total of the sector's revenues.In another projection, the joint report said that advertising will comprise 52 per cent (from 51 per cent in 2024) of total sector revenues in 2027, while the share of subscription will reduce to 35 per cent by 2027 (from 39 per cent in 2024).
The Indian media and entertainment sector is projected to grow at a compound annual growth rate of 7 per cent and add Rs 564 billion in three years through 2027, the FICCI-EY report said. New media will provide 68 per cent of this growth, followed by live events (12 per cent) and animation and VFX (8 per cent), it added. Barring unforeseen situations, we expect all segments to grow or remain flat, except linear television, so long as India's real GDP grows 5 per cent or more, it noted.
As news consumption shifts to online video and text, and as the youth consume news on social and other platforms, news media will need to rethink their content, monetization, and measurement strategies, it suggested. Content will need to be created multi-for.
