Report: Global Entertainment & Media Industry to Grow to $1.7 Trillion in 2008

Authored by Mark Hefflinger on June 29, 2004 - 7:10am.

New York -- The global entertainment and media industry will be worth $1.7 trillion in 2008, as spending increases at a 6.3% compound annual growth rate (CAGR), up from a growth rate of 4.2% and spending of $1.2 trillion in 2003, according to a report from PricewaterhouseCoopers. The firm credits an impressive 9.8% CAGR for the Asia/Pacific regional market, as well as improved economic conditions, new distribution channels and new technologies for the overall growth. The number of broadband households will grow at a 31.3% CAGR to surpass 300 million for the first time in 2008, while Internet advertising will outpace the rest of the industry with a 12.7% CAGR as it grows to $18.9 billion in 2008. The fastest growing segment of the entertainment industry during the next five years will be video games, expected to grow at a 20.1% CAGR to $55.6 billion in 2008. PricewaterhouseCoopers also expects a turnaround for the struggling music industry, which will see a 2% CAGR and global spending of $33.7 billion by 2008. "After a few years of economic uncertainty, our projections for industry growth are encouraging across the board, highlighted by particularly swift gains in the video games and Internet advertising and access spending segments," said Wayne Jackson, leader of PricewaterhouseCoopers' entertainment and media practice.
http://www.pwc.com/outlook