×
You will be redirected back to your article in seconds

APOS: Asian Video Market Set for Strong Growth (Study)

Online video is set to grow rapidly in Asia for the next five years, according to a new study of the region’s TV, video and online markets. The study excludes the largely separate mainland China market.

Media Partners Asia forecasts that online video will expand to 20% of total video industry revenues by 2023, up from 9% in 2017. That is likely to be propelled by new spending on content by online companies, which increase overall content spending in the region by 5% per year.

“The growth of subscription and ad-supported video services from Amazon, Facebook, Netflix and Google will propel these Facebook, Apple, Amazon, Netflix, and Google, companies to a combined 63% share of Asia Pacific online video revenues ex-China by the end of 2018,” said Media Partners Asia executive director Vivek Couto.

The report, to be presented this week at the MPA-hosted APOS conference in Indonesia, shows Google-owned YouTube to have 70-90% slice of a large and fast-growing online video advertising business in Australia, Japan, Southeast Asia and India. In addition, Amazon and Netflix have scaled quickly with subscription video offerings in Australia, India and Japan but have a long way to go in Southeast Asia and Korea.

The analysis could be changed by the potential all-in premium offerings from Disney, 21st Century Fox and Time Warner, which are expected to launch in the next five years. Amazon Prime Video has also yet to scale up in Australia and key markets across Southeast Asia.

Total content investment in TV and online video is expected to expand from $23.1 billion in 2017, to $30.1 billion by 2023. Online video platforms will account for 17%. For traditional TV players, increased content investment is mainly focused on sports rights, across Australia and India in particular, and entertainment on free TV across Southeast Asia.

Online video advertising, dominated by YouTube to date, continues to grow at a stellar pace, was worth $3.6 billion in 2017 and could hit $10.7 billion by 2022. Online video subscription fees are growing rapidly from a very low base, up 41% in 2017 to reach $1.7 billion, and forecast to grow at 12% per year to hit $4 billion by 2023.

Japan and Australia will remain the leading markets for online video, contributing more than 55% to Asia Pacific revenues ex-China in 2023. The third-largest market will be India, which will also be the fastest growing with a 26% average growth over 2018-23.

More Biz

  • Here’s How Much Money 10 Artists

    Here’s How Much Money 10 Artists Are Owed by PledgeMusic

    For eight years, PledgeMusic was a success story: A direct-to-fan platform where artists worked directly with their audiences to fund their albums, tours and all stripes of merchandise, with fans able to purchase everything from custom guitar picks to private concerts. Yet last June, Variety broke the news that the company is struggling to pay [...]

  • Korea's CJ CGV Switches Turkey CEOs

    Korea's CJ CGV Switches Turkey CEOs as It Battles With Local Industry

    Yeun Seung-ro has been appointed as CEO of CGV Mars Entertainment, the Korean-owned company that operates Turkey’s largest cinema chain. He replaces Kwak Dong Won, another veteran of the CJ-CGV group. The change of personnel may reflect two ongoing battles within the Turkish film industry. CJ-CGV, which bought Mars for some $650 million in 2016. [...]

  • China Video Streaming Giant iQIYI Loses

    Chinese Video Giant iQIYI Loses $1.3 Billion in 2018

    Chinese video streaming firm iQIYI lost over $1.3 billion in 2018, as revenues and subscriber numbers ballooned. The deepening losses reflected ever higher spending on original content production. Announcing its first full-year financials since a March IPO that launched it onto the NASDAQ, iQIYI said that it lost $1.3 billion (RMB9.1 billion) last compared with [...]

  • Lisa Borders Time's Up

    Time's Up CEO Resigned After Son Was Accused of Sexual Assault

    Time’s Up has announced in a statement posted to Instagram that its former president and CEO Lisa Borders, who resigned Feb. 18, did so after her son was accused of sexual assault in a “private forum.” “Within 24 hours, Lisa made the decision to resign as President and CEO of Time’s Up and we agreed [...]

  • Louis Tomlinson Signs With Arista (EXCLUSIVE)

    Louis Tomlinson Signs With Arista (EXCLUSIVE)

    One Direction’s Louis Tomlinson has signed with Arista, sources tell Variety. While the singer was formerly linked with Epic Records in 2017, he is signed directly to Simon Cowell’s Syco label and will move within the Sony Music family to Arista. Tomlinson teased a new single on Feb. 2, posting on Twitter, “Just heard the [...]

  • Jussie Smollett

    Jussie Smollett's Bail Set at $100,000, Must Surrender Passport

    UPDATED: A Chicago judge set a $100,000 bond for Jussie Smollett on Thursday, as the “Empire” actor made his first court appearance. Smollett faces one felony count of filing a false police report. Police allege that Smollett staged a Jan. 29 attack, telling detectives that he was accosted by two men who used racial and [...]

More From Our Brands

Access exclusive content