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REPORT

The Future Of The Indian Entertainment Business In Partnership With The World

CHAPTER THREE

How do you expect the entertainment and media landscape and content offering to change in the next few years and what do you think will be the drivers of that change?

SUMMARY

The Indian entertainment and media landscape is undergoing profound transformation, driven by a convergence of technological innovation, changing consumer behaviour, evolving business models and regulatory developments. Across the board, industry experts foresee a shift toward hyper-personalised, immersive and digitally native content experiences.

Core Trends and Anticipated Changes:

  1. AI and Automation:
    • AI will play a central role in content creation, personalisation, dubbing, voice cloning and recommendation systems.
    • It will reduce barriers such as cost, talent availability and production cycles.
    • Generative AI will democratise storytelling and lower production budgets.
  2. Regional and Vernacular Content Boom:
    • Audiences increasingly demand culturally rooted, linguistically diverse content.
    • Platforms will prioritise hyperlocal storytelling and pan-India narratives.
    • Dubbed/subtitled content will transcend language barriers.
  3. Rise of Independent and Creator-Led Content:
    • Platforms like YouTube and Instagram will empower creators to bypass traditional gatekeepers.
    • The creator economy will flourish with government support (e.g. India’s US$1bn content creator fund).
  4. Digital Dominance and Connected TV (CTV):
    • Smart TV penetration and mobile-first consumption will continue to rise.
    • On-demand viewing, hybrid release models and streaming-first strategies will redefine consumption habits.
    • AVoD, SVoD and hybrid monetisation models will compete for attention.
  5. Immersive and Interactive Experiences:
    • The adoption of AR/VR, the metaverse and gamified entertainment will increase.
    • Interactive content formats (live voting, playalong, live comments) will become mainstream.
  6. Consolidation and Platform Power:
    • Media consolidation (e.g. Disney-Reliance) will reshape content commissioning and IP ownership.
    • Fewer, more powerful, buyers may push producers to seek innovative financing and risk-sharing models.
  7. Shifting Audience Behaviour:
    • Gen Z and Gen Alpha prefer shortform, socially relevant and interactive content.
    • Linear TV will continue but must evolve to retain mass audiences.
    • Audiences seek authenticity, innovation and real-life storytelling.
  8. Global Collaborations and Exports:
    • India will see more coproductions, format adaptations and international remakes.
    • Stories with local essence but universal appeal will find global success.
  9. Advertising-Driven Growth:
    • The rise of ad-supported models (FAST, AVoD) will make premium content accessible to more users.
    • Brands will increasingly act as content producers, integrating storytelling into their messaging.
  10. Policy Support and Infrastructure Development:
    • Government initiatives, improved connectivity (5G, broadband) and training institutions will nurture industry growth.

Challenges Identified:

  • Oversaturation of platforms and content.
  • Shrinking budgets and monetisation hurdles for independent producers.
  • Discovery and attention-span challenges in an overwhelming content ecosystem.
  • Cost-sensitive consumers and growing piracy risks.

Outlook: The next few years will be marked by a recalibration of the Indian media ecosystem – where data, digital tools, regional identity and consumer experience take centre stage. The industry is set to move from scale to substance, with content that is emotionally resonant, globally viable and digitally optimised. Success will hinge on the ability to adapt, innovate and tell stories that reflect the diverse, ambitious and tech-savvy India of tomorrow.

DEEPER GRANULAR ANALYSIS

Closer partnerships between linear and non-linear platforms/channels, leveraging the power of distribution for longevity and viability of content, should all reshape the future of the business – where storytelling establishes itself as good business.

  • A lot more experimentation in content formats is expected.
  • AI will remove many obstacles in content creation – availability of stars, capital, good stories, theatrical release windows.
  • Capital will flow into content at an unprecedented pace.
  • There will be an explosion of content creators and platforms.
  • The dual scenario of reduced attention spans and binge-watching is playing out in the market.
  • Micro-dramas are seeing a huge surge. This is where we see much of the new content being created and new apps being launched.
  • Usually, profit is the main goal for movies. In the future, however, people may focus more on craft and unique storytelling to attract attention, as the audience becomes more intellectually advanced.
  • Growth of AI-driven content creation (tools for localised versions of global shows), more investment in regional Indian content, consolidation through new mergers and increased investment in exclusive sports rights by streamers.
  • Consolidation in the media landscape will lead to fewer projects being made, but with bigger talent (actors, directors, IP) attached.
  • The Indian entertainment and media landscape is poised for dynamic changes, driven by a confluence of technological advancements and evolving consumer behaviours.

Trends and Drivers:

  • Digital Convergence: The lines between traditional and digital media will continue to blur.
  • Connected TV (CTV) will become increasingly prevalent, integrating streaming services with traditional television.
  • Mobile-first consumption will remain dominant, with shortform and interactive content gaining traction.
  • Rise of Personalised Content: AI-driven recommendation engines will enhance viewer experiences.
  • Data analytics will play a key role in shaping content strategies.
  • Regional and Vernacular Growth: OTT platforms will invest heavily in regional content, creating more localised, culturally relevant stories.
  • Immersive Experiences: VR and AR will create new entertainment formats, especially in gaming and storytelling.
  • The metaverse could introduce entirely new entertainment and social engagement formats.
  • Interactive Entertainment: Online gaming and participatory content like live streaming will grow.
  • Advertising Evolution: Digital advertising will surpass TV ads, with programmatic and influencer marketing dominating.
  • Technology Advancements: 5G, AI and machine learning will drive personalisation and content efficiency.
  • Changing Consumer Behaviour: Viewers want more on-demand, personalised and interactive content.
  • Economic Growth: Rising incomes and digital infrastructure will accelerate the entertainment market.
  • Audience Analytics: Improved data gathering will allow hyper-targeted content offerings.

Additional Trends:

  • Regional and hyperlocal content is gaining traction, driven by authentic storytelling.
  • Hybrid monetisation models (SVoD, AVoD, transactional) will maximise reach.
  • Shortform content and AI across the content value chain will grow.
  • YouTube will rival TV in reach, especially with CTV adoption and family-friendly content.
  • Interactive and immersive formats like gamified storytelling, live streams and audience voting will gain popularity.
  • Rise of creator-led platforms and decentralised content ecosystems.
  • AI democratisation will empower independent creators with efficient, affordable tools.
  • Streaming will dominate, with AVOD growing faster.
  • Global collaborations and remakes will increase.
  • IP ownership and original content will be a strategic focus.
  • Smart TVs will play a crucial role in data-led targeting.
  • Digital-native consumption models will redefine TV economics.
  • Regional content will go global, aided by dubbing, subtitling and increased accessibility.
  • Creator economy will drive trends, with YouTube and Instagram becoming launchpads.
  • Production budgets will shrink, necessitating efficiency and innovation.
  • Government support for creators will rise (e.g. India’s ₹1bn (US$11.72m) fund and Creative Technologies Institute).
  • Generative AI and real-time dubbing/localisation will transform production.
  • OTT will remain central, but theatrical experiences will evolve.
  • Global demand for Indian stories will grow.
  • Consumption patterns from Gen Z and Gen Alpha will reshape formats.
  • Ad-supported models (FAST) will gain favour amid pricing pressure.
  • More factual programming and international coproductions are likely.
  • Shortform, snackable content will dominate discovery and initial engagement.
  • Greater focus on inclusivity and representation in narratives.
  • Linear vs. digital rivalry will soften, with convergence as the new normal.
  • Doordarshan and public broadcasters could be revitalised by technology.
  • Rural and Tier 2 audiences will become central to monetisation strategy.
  • Experimentation in storytelling will thrive – formats, genres and narrative voices.
  • Media consolidation will continue, driving efficiency and IP leverage.
  • Fewer commissions, higher stakes – only distinct, high-quality content will survive.
  • AI localisation will ensure regional content reaches diverse audiences globally.
  • Live sports, gaming and e-sports will drive engagement and revenue.
  • User-Generated Content (UGC) will become mainstream, challenging traditional norms.
  • Greater attention to sustainability and ethical storytelling.
  • Massive growth in India’s media market, potentially crossing ₹3tn by 2026.
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C21 Reporters

28-02-2025
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