Media
Overview
One Minute Read
The Media industry has been in flux ever since the advent of digitisation and the Internet. The COVID-19 pandemic prompted more people to seek new shows and forms of home entertainment, creating an opportunity for platforms and new video-streaming entrants to move in. Consumers follow content and content is not just made by media companies anymore and can be accessed anywhere from any device. Traditional media is struggling to redefine its place in the world. Digital technologies such as 5G mobile and AI will continue to disrupt the industry and blend physical and virtual worlds.
Industry Description
The Media industry has multiple segments that combine into one vertical; Film, Television, Music, Publishing, Radio, Music, Gaming, Social Media and Advertising. Moreover, trends and drivers for each of the segments vary across sub-segments, geographies and consumer segments. This complex ecosystem of advertisers, agencies,
newspaper and magazine publishers, TV and radio companies, record companies, streaming businesses and content production companies makes the vertical unique, since these sub-verticals compete, compliment and combine to fulfil the ever-increasing demand for entertainment and information globally.
The global market market size was valued at $2.2 trillion in 2021 and is expected to grow to $2.6 trillion by 2025.
The industry has been driven by numerous technological innovations. Since 1990s, digitisation of content has changed creation and delivery of music and video. Another disruption in 2000s, the rise of the internet was a game changer for all the sub-verticals of the industry. Presently, social media and streaming is instrumental in shaping the present media & entertainment industry.
Drivers
Shaped by the global megatrends and now the pandemic, the industry is being defined by five major drivers:
Customer Experience - BigTech has set the expectations for convenience and simplicity.
Regulation - Regulation has traditionally played a significant part in defining the operating environment and a new round of regulation is being proposed to catch up with the social media age.
New Technology - The industry has been continually defined by technological innovation.
Sustainability - There is a growing realisation that a digital lifestyle creates a significant carbon footprint.
Business Models - Digital disruption has challenged the traditional media business and many media companies are still seeking sustainable business models in the new media landscape.
Transformation
The industry will continue to rapidly evolve driven by continued digital technology evolution, demand for entertainment and information as well as highly disruptive competitors.
Transformations shaping the Future of Media are:
Any Device Engagement,
Personalised Content,
Lifestyle Platforms,
and ultimately the Metaverse.
These changes will impact into other industries such as Retail, Telecoms and Technology
Digital Technology
Digital transformation will drive needs for Business Applications and platforms to deliver the next generation of entertainment and information.
The Media industry was one of the first to leverage the scale and flexibility of the Cloud and Data Analytics. Artificial intelligence will continue to drive personalisation and monetisation. Network & Communications infrastructure is crucial to enable anywhere engagement, and a Digital Workplace will enable an agile workforce.
Security, Compliance & Data Privacy is critical to consumer confidence and regulation scrutiny. Finally, IT Governance & Management will be essential to manage the change and ensure value for money.