India's Media & Entertainment Sector Projected to Reach $3.3 Trillion by 2028

India Media and Entertainment Sector Hits ₹2.78 Trillion in 2025, Digital Media Leads Growth​

Industry Enters Phase of Digital Expansion and Structural Transformation​

New Delhi, March 24: India’s media and entertainment (M&E) sector entered a defining phase of scale, digital dominance, and structural transformation in 2025, reaching ₹2.78 trillion with a growth rate of 9 per cent, according to a report by FICCI and EY. The sector’s expansion outpaced nominal GDP growth, reflecting strong momentum across digital and advertising-driven segments.

Growth Outlook: ₹3.3 Trillion by 2028​

The report projects continued expansion, with the industry expected to grow to ₹2.86 trillion (USD 32.9 billion) in 2026 and further to ₹3.3 trillion (USD 37.9 billion) by 2028. The sector is also likely to cross the ₹3 trillion mark by 2027, supported largely by digital media and emerging content formats.

Digital Media Emerges as Dominant Segment​

Digital media has become the largest segment within the M&E industry, generating over ₹1 trillion in revenue. Digital advertising accounted for 63 per cent of total advertising spend, while subscription revenues increased due to the popularity of OTT platforms, premium sports content, and regional programming.

Television Declines Despite Expanding Household Base​

Television continued its gradual decline, with revenues falling to ₹617 billion in 2025. The segment is expected to contract further at a negative 5 per cent CAGR, even as the number of TV households is projected to exceed 200 million by 2028.

Regional Content Drives Consumption Trends​

A major structural shift in the industry is the rise of regional storytelling. Regional languages now account for more than half of OTT consumption and nearly two-thirds of film production, indicating a strong shift in audience preferences.

Content Production and Advertising Growth​

The industry produced nearly 200,000 hours of content in 2025, led by television and supported by OTT platforms and short-form formats. Advertising remained a key growth driver, increasing by 13.5 per cent to ₹1.5 trillion, driven by digital platforms, e-commerce players, and increased participation from small and medium enterprises.

Live Events See Strong Revival​

The live events segment recorded significant growth, with the organized segment expanding by 44 per cent. This surge was driven by higher spending on ticketed events, weddings, government functions, and large-scale religious gatherings such as the Maha Kumbh Mela.

Challenges Persist Across Segments​

Despite strong growth, the report highlighted several challenges facing the sector. These include a decline in pay-TV households, weak monetization in the news segment, and regulatory disruptions in gaming. The gaming segment is expected to contract at a CAGR of negative 22 per cent between 2025 and 2028.

Industry Leaders Highlight Transformation Phase​

Anant Goenka noted that the sector remains central to India’s creative and digital transformation, driven by changing audience behavior and rapid technological advancements.

Kevin Vaz described 2025 as a pivotal inflection point, stating that the industry has entered a new phase marked by scale, innovation, and transformation. He added that the sector is expanding across platforms while increasingly embracing new technologies.

Emerging Formats to Shape Future Growth​

Looking ahead, digital media is expected to remain the primary growth engine, with new formats such as creator-led platforms, micro-dramas, and immersive experiences set to define the next phase of the industry’s evolution.