PricewaterhouseCoopers has come out with its annual report on the state of the media and entertainment industry and outlook for the next five year..and PWC thinks the industry is poised for solid growth, led by new technologies and the rapid development of the Chinese market. Sector wise summaries are on this page…
IHT: Spending on Internet advertising and access charges will rise at an annual rate of 16.9 percent globally over the next five years. Spending on music, including physical sales of recordings as well as digital downloads and ringtones, rose 5.7 percent last year, the first gain in five years. And the report predicts accelerating sales increases over the next five years, at an annual rate of 8.3 percent.
Variety: Mobile music will be the driver behind the music industry. Spending was $37.8 million last year on ringtones and the like; with the arrival of master ringtones and ringbacks, PWC projects the average mobile phone subscriber will spend $65 annually on music for the phone in ’09, reaching $3.4 billion.
MediaWeek: With only minimal advertising on Sirius Satellite Radio and XM Satellite Radio, PwC does not expect satellite radio to represent a huge threat to terrestrial, but it could hold down terrestrial radio’s growth.
Guardian: Despite the deterioration in UK consumer spending, PwC is confident the favourable economic outlook will sustain 6% annual growth in advertising here. Internet advertising will continue to grow at double-digit rates, while advertising in traditional media will only increase by 4%-6%.
Sample Chapter: In the U.S., wireless games will experience the fastest growth rate, increasing from $281 million in 2004 to $2.1 billion in 2009, a 49.3 percent compount annual increase.