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Key Points

India's media and entertainment industry is set to expand to Rs 3.07 trillion by 2027, fueled by digital platforms and gaming. Traditional media formats like TV and print saw a 3% decline, while new media surged by 12%. AI adoption could further enhance revenues by 10% and cut costs by 15%. The sector employs 2.8 million people directly, with online gaming and OTT leading job creation.

Key Points: Indian Media Industry to Hit Rs 3.07 Trillion by 2027 Says EY

  • Digital media and gaming drive 12% growth
  • Traditional media declines by 3%
  • AI could boost revenues by 10%
  • Sector employs 2.8M directly
2 min read

Indian media & entertainment industry set to reach Rs 3.07 trillion by 2027: EY

India's media sector is projected to grow at 7% CAGR, driven by digital expansion and AI adoption, reaching Rs 3.07 trillion by 2027.

"New media, including digital and gaming, surged by Rs 113 billion, contributing 41% of sector revenues. – EY Report"

New Delhi, May 6

The Indian media and entertainment (M&E) industry will grow at a Compound Annual Growth Rate of 7 per cent to reach Rs 3.07 trillion (n (USD 36.1 billion)) by 2027, a report by Ernst & Young (EY) anticipated.

New Delhi [India], May 6 (ANI): The Indian media and entertainment (M&E) industry will grow at a Compound Annual Growth Rate of 7 per cent to reach Rs 3.07 trillion (n (USD 36.1 billion)) by 2027, a report by Ernst & Young (EY) anticipated.

According to the EY, the sector will grow at the rate of 7.2 per cent in 2025, reaching at Rs 2.68 trillion (USD 31.6 billion).

India's Media and Entertainment sector has continued its upward trajectory in 2024, growing by Rs 81 billion to reach a total value of Rs 2.5 trillion (approximately USD 29.4 billion).

The growth was primarily driven by new media--including digital media and online gaming--which expanded by Rs 113 billion, marking a 12 per cent increase and bringing its contribution to 41 per cent of the sector's overall revenues.

In contrast, traditional media formats such as television, print, radio, and music experienced a collective revenue decline of 3 per cent or Rs 30 billion, reducing their share to 41 per cent of the total sector. Meanwhile, outside-the-home media, comprising filmed entertainment, live events, and out-of-home advertising, grew at a combined rate of 3 per cent, now accounting for 14 per cent of the sector's revenues.

By 2024, the M&E sector stood 30 per cent higher than its pre-pandemic peak in 2019. Overall, the sector contributed 0.73 per cent to India's GDP, while advertising alone accounted for 0.38 per cent of GDP, underscoring the considerable potential for further growth in advertising expenditure, the report added.

Going further, the report suggests that adoption of Artificial Intelligence (AI) can increase revenues by 10 per cent and reduce costs by 15 per cent for media and entertainment companies.

Indian companies are leveraging Genai tools for creative purposes and campaign optimisation, content performance improvement and audience engagement.

The media and entertainment sector in India currently employs 2.8 million people. In addition, around 10 million indirect jobs have been created, primarily in the events, music and content production segments. Online gaming, and Digital and OTT are the fastest-growing segments in terms of direct employment potential, according to EY.

- ANI

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Reader Comments

R
Rajesh K.
This is fantastic news for our economy! The M&E sector creating 2.8 million direct jobs shows how it's becoming an employment powerhouse. Just hope the growth benefits regional content creators too, not just big cities. Jai Hind! 🇮🇳
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Priya M.
While digital growth is impressive, we shouldn't neglect traditional media. Many rural Indians still rely on newspapers and radio. Hope the report considers balanced development across all formats. The 3% decline in traditional media is concerning.
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Amit S.
Online gaming contributing to 41% revenue share is mind-blowing! India's youth is driving this digital revolution. But we need better regulations to protect players from addiction and fraud. Otherwise, golden goose hai yeh!
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Sunita R.
As someone working in OTT content, I can confirm the boom is real! But the AI part worries me - will it replace creative jobs? The report says AI can cut costs by 15%... at whose expense? Need proper skilling programs for industry workers.
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Vikram J.
Impressive numbers but let's not forget quality over quantity. Some OTT platforms are churning out mediocre content just for volume. Hope the industry focuses on meaningful storytelling that represents India's diversity.
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Neha P.
The 10 million indirect jobs figure is most exciting! From makeup artists to set designers, so many livelihoods depend on this sector. Government should provide more support to small businesses in this ecosystem. ✨

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