AI-powered ads to drive growth for global entertainment and media industry, PwC says
The industry is projected to record a compound annual growth rate of 3.7 per cent until 2029, the consulting firm said in its Global Entertainment & Media Outlook 2025-29 on Thursday. The growth will also be supported by non-digital categories such as live events.
WHY IT'S IMPORTANT
Economic uncertainty from inflation and shifting trade policies are prompting consumers to cut back on non-essential spending, pressuring entertainment subscriptions, movie outings and digital media.
At this time, advertising is emerging as a significant driver of revenue growth for the industry at-large, PwC said.
BY THE NUMBERS
Digital formats, which accounted for 72 per cent of overall ad revenue in 2024, will rise to 80 per cent in 2029, with new technologies including AI and hyper-personalization expected to drive more end-market uptake, the report said.
Ad revenue from connected TV is expected to rise to $51 billion in 2029, driven by higher digital engagement, PwC said.
The industry is also set to benefit from strong video games revenue, which is forecast to grow to about $300 billion in 2029.
KEY QUOTES
"There's certain general macroeconomic pressures on individuals, families and advertising starts to subsidize a lot of that," said Bart Spiegel, global entertainment and media leader at PwC U.S.
The industry "has always been at the forefront of technological innovation, but companies will need to remain nimble and proactive to embrace the future and satisfy consumers in an ecosystem that rewards creativity and tailored content," Spiegel said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNA
40 minutes ago
- CNA
Israeli cyber startup Noma Security raises $100 million in private funding round
TEL AVIV :Israeli cybersecurity startup Noma Security, whose platform secures enterprise data and AI models against AI agents, said on Thursday it raised $100 million in a private funding round, bringing total funds raised to date to $132 million. Israel's cyber security sector has been active of late and many startups have raised significant sums in funding rounds and in mergers and acquisitions. A surge in cyberattacks, including data breaches and ransomware, has driven demand for more comprehensive defences and fueled interest in cyber firms. On Wednesday, Palo Alto Networks said it would buy Israeli peer CyberArk Software for $25 billion. It follows Alphabet's $32 billion acquisition of Israeli startup Wiz in March. Noma Security's Series B round was led by U.S.-based venture capital firm Evolution Equity Partners, with continued participation from Ballistic Ventures and Israeli firm Glilot Capital. The latest funds, it said, will be used to further expand its operations across North America and Europe, Middle East and Africa and to more rapidly grow its product, research and development teams in Tel Aviv. Noma Security, which was founded in 2023, came into prominence last November after raising $32 million. The company said it helps organisations "identify millions of AI and AI agent risks while simultaneously prioritising and mitigating novel threats at scale." AI agents are AI systems that act autonomously on behalf of users or organisations.
CNA
40 minutes ago
- CNA
Singapore manufacturers race to lower cost base before US tariffs kick in
Singapore manufacturers are scrambling to lower their cost base ahead of US tariffs kicking in on Aug 1. Some are splitting operations to produce entirely within the US for American customers, separate from global supply chains. Meanwhile, according to a poll by the Economic Development Board, business confidence in the manufacturing sector turned slightly positive for the rest of the year. Nasyrah Rohim reports.
CNA
an hour ago
- CNA
AI startup Anaconda raises $150 million in Series C funding led by Insight Partners
Anaconda, a leading provider of open-source Python software for data science and AI, has raised more than $150 million in a Series C funding round led by Insight Partners, with additional participation from Abu Dhabi's Mubadala Capital. The funding round values the startup at $1.5 billion, Bloomberg News reported, citing a person familiar with the matter. The company said on Thursday the fresh capital will support product development, potential acquisitions, and international expansion, as well as provide liquidity for employees. The funding comes amid increased competition in the enterprise AI software sector, with Python continuing to dominate as the programming language of choice for AI development. U.S. startup funding has surged 75.6 per cent in the first half of 2025, led by the AI boom, putting it on track for its second-best year ever, even as venture capital firms struggled to raise money, according to PitchBook. This year's boom has been driven largely by major AI investments and bold bets from big tech companies, a wave of activity set off by the debut of ChatGPT in late 2022. In the past three months alone, $69.9 billion was invested in U.S. startups. Anaconda did not immediately respond to a Reuters request for comment regarding the valuation. The company is seeking to capitalize on growing enterprise demand for open-source tools as organizations shift from isolated data science projects to broader AI applications. The startup has also expanded its leadership team, hiring executives with backgrounds in enterprise technology and product innovation.
