Global Video Industry Set to Surpass $1 Trillion by 2030 as Digital Advertising Dominates Growth

Traditional TV and online video revenues are expected to rise from $775 billion in 2025 to $1.03 trillion IN 2030, Omdia report said.

According to insights shared by Maria Rua Aguete, Head of Media and Entertainment at Omdia, during the FED Show Madrid, this growth marks a structural shift in how content is consumed and monetized, with digital formats, particularly advertising, emerging as the primary growth driver.

Online Video Advertising Emerges as the Key Growth Engine

Online video advertising is set to become the dominant force in the industry. Revenues from this segment are projected to surge from $309 billion in 2025 to $540 billion by 2030, increasing its share of total industry revenues from 40 percent to 53 percent.

A significant portion of this growth will be fueled by social video platforms such as Meta, TikTok, and YouTube. These platforms are expected to collectively generate around $400 billion in streaming advertising revenues by 2030.

The rapid rise of social video reflects a broader shift toward mobile-first consumption, short-form content, and highly personalized viewing experiences. Advanced discovery algorithms and thriving creator ecosystems are enabling platforms to scale engagement and monetization more effectively than traditional models.

Subscription Video Growth Slows as Market Matures

While online video subscriptions and transaction-based revenues will continue to expand, growth in this segment is expected to moderate. Revenues are forecast to increase from $174 billion in 2025 to $216 billion in 2030.

This slower growth indicates that the subscription video market is entering a more mature phase, as competition intensifies and user acquisition becomes more challenging. Streaming services are increasingly focusing on hybrid monetization models that combine subscriptions with advertising to sustain growth.

Traditional TV and Pay TV Continue Structural Decline

Traditional television segments are expected to lose further ground over the forecast period. Linear TV advertising revenues are projected to decline from $123 billion in 2025 to $113 billion by 2030, with its share dropping from 16 percent to 11 percent.

Similarly, pay TV revenues, including subscriptions and transactional services, are forecast to decrease from $169 billion to $159 billion. This decline reflects ongoing cord-cutting trends and the steady migration of audiences toward digital and on-demand platforms.

The shift away from traditional viewing models is being driven by changing consumer preferences, particularly among younger audiences who favor flexible, on-demand, and mobile-friendly content experiences.

Industry Transformation Accelerates Toward a Digital-First Future

The global video industry is clearly transitioning toward a digital-first ecosystem, where advertising-led models, especially social video, are at the center of growth. As highlighted by Maria Rua Aguete, social video advertising is rapidly reshaping the competitive landscape, redefining both content distribution and revenue generation.

As the market approaches the $1 trillion milestone, the balance of power is shifting decisively toward digital platforms. Companies that can leverage data-driven personalization, creator partnerships, and scalable advertising models will be best positioned to capture future growth in this evolving ecosystem.

BABURAJAN KIZHAKEDATH

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