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US to lead the way as global AVoD revenue forecast to hit $70bn in 2027

AVoD revenues from series and features will soar to US$70bn in 2027, more than doubling from US$33bn in 2021, according to UK firm Digital TV Research.

The US will generate the most income from the AVoD market, accounting for 46% of the global total by 2027, up from 39% in 2021.

Simon Murray

“The US AVoD [income] will grow by US$19bn to US$31bn by 2027 – remaining the largest country by far. The US has the world’s most sophisticated advertising industry by some distance, plus AVoD choice is greater in the US than anywhere else,” said Simon Murray, principal analyst at Digital TV Research.

In second place is China, which will take 6.4% of global AVoD revenues this year, reaching 8.5% in 2026.

However, Digital TV Research said China’s income “slumped” in 2020 due to its economic downturn and it will take until 2024 for the country to better its 2019 total. The government’s clampdown on fan-based culture, which resulted in far fewer reality shows from the OTT platforms and less viewer demand, has also impacted revenues, according to the research.

The UK, Japan and India take third, fourth and fifth place respectively in terms of global AVoD revenues, with the UK set to account for 3.1% of the market in 2026, an increase from 1.6% this year.

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