Global SVOD revenues to rise to $124BN by 2028
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| 27 February 2023
One of the key market tends of 2022 was advertising video-on-demand taking market share from the subscription sector but a study from Digital TV Research is predicting that SVOD will generate $25 billion in additional revenues between 2022 and 2028 to total $124 billion.
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The analyst’s SVOD Forecasts Update report noted that this growth will come despite most of the major platforms SVOD scaling back their content spend, which it said makes them less attractive to new subscribers. Digital TV Research believes that there is still plenty of growth left in the sector – both from international expansion and as US pay-TV subscribers continue to convert to over-the-top (OTT) services.

Looking regionally, the study predicts that the US will add $5 billion of the added total with second place China gaining an extra $1 billion in revenue.

In terms of platforms, Netflix is forecast to retain its SVOD market dominance, with $32 billion revenue expected to be generated by 2028. This would be more than Disney+, HBO and Paramount+ combined. However, the Netflix revenue in 2028 will likely show flat growth compared with 2022’s figure with Digital TV Research expecting falls in North America and Latin America, though with growth in Asia.

The SVOD Forecasts Update report pinpoints Disney+ as the service likely to reap the most additional SVOD revenues, climbing by nearly $7 billion between 2022 and 2028.