APAC OTT revenues to climb $15bn by 2029, despite China SVOD maturity

Asia Pacific OTT revenues are predicted to reach $49bn by 2029, according to a report from analyst firm Digital TV Research.

This marks a $15bn rise from the current recorded value of $34bn and comes despite the maturing market in China – which is the world’s second largest market.

China will still account for 39% of total revenues in Asia Pacific by 2029, according to the report, but this is an 8% drop from the 47% it holds in the region today.

The country is reaching SVOD maturity, with a poor AVOD sector at the moment, reported Digital TV Research.

Asia Pacific’s SVOD revenues overtook AVOD revenues in 2019. AVOD will recover said the report, but revenues will remain lower than SVOD. SVOD and AVOD revenues will climb by $4 billion and $9 billion respectively between 2023 and 2029.

The big six US-based platforms are predicted to account for only 18% of the region’s OTT revenues by 2029 – the lowest proportion for any region.

Simon Murray, principal analyst at Digital TV Research, added: “Disney now appears less keen on expanding Hotstar to the region’s developing markets as it is classified as “non-core”. Warner Bros Discovery is yet to announce international plans for Max. Paramount’s Asian rollout will be very limited.”