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Global AVOD spend to hit $66bn

May 24, 2021 09.31 Europe/London By Chris Dziadul

AVOD expenditure for TV episodes and movies will climb by 144% between 2020 and 2026 to reach $66 billion across 138 countries.

According to the latest report by Digital TV Research, its growth dipped to only 9.2% in 2020 but is set to increase significantly from this year onwards.

From the $39 billion additional revenues generated between 2020 and 2026, the US will contribute $21 billion and China $5 billion. Revenues will triple in India and the US.

The US became the largest AVOD country in 2019 as China saw expenditure fall by 9% due to its economic downturn. A combination of the coronavirus lockdown and the continued economic downturn led to China’s AVOD dropping by a further 14% in 2020. China will not better its 2018 total until 2024, although growth will return from 2021.

Commenting on the findings of the report, Simon Murray, principal analyst at Digital TV Research, said: “US AVOD revenues will triple between 2020 and 2026 to $31 billion. Rather than lose market share as other countries catch up, the US will grow its share of the global total from 37% in 2020 to 47% by 2026.”

The US has both the most developed OTT sector in the world and the most developed advertising market. Successful AVOD platform launches in the US will not necessarily thrive elsewhere.

For more information on the Global AVOD Forecasts report, please contact: Simon Murray, simon@digitaltvresearch.com, Tel: +44 20 8248 5051

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Filed Under: On Demand/VOD, Platforms, Research, Top Story Edited: 24 May 2021 12:38

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About Chris Dziadul

Chris is our Central & East Europe Editor. You can talk to Chris on Twitter @chrisdziadul or by email at cdziadul@broadbandtvnews.com

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