- Share this article on Facebook
- Share this article on Twitter
- Share this article on Email
- Show additional share options
- Share this article on Print
- Share this article on Comment
- Share this article on Whatsapp
- Share this article on Linkedin
- Share this article on Reddit
- Share this article on Pinit
- Share this article on Tumblr
Pay TV revenue in the Asia Pacific region will top $56 billion in 2018, reflecting 5 percent growth, according to a report by analysts Media Partners Asia.
MPA’s Asia Pacific Pay TV Distribution report, which covers 17 markets across the region, predicts 3 percent compound annual growth for the next five years, which will see pay TV revenues — including subscription fees, and local and regional advertising sales — exceeding $66 billion by 2023.
China, India, South Korea and Japan will drive future growth in the region, with MPA projecting that the Asia Pacific pay TV subscription base will grow from 645 million subs in 2018 to 696 million by 2023, reflecting a 2 percent compound annual growth rate.
In 2018, the pay TV subscriber base in the region will grow by 3 percent, representing 57 percent of TV homes with at least one pay TV service. India will account for 47 percent of that growth in 2018.
The report also cautions that pay TV penetration will fall to 55 percent of TV homes by 2023 when adjusted for multiple subscriptions, largely due to an acceleration in cable cord-cutting in China.
Indian pay TV revenues will reflect the highest growth rate over the next five years, with 8 percent CAGR, followed by China and Korea at 3 percent, and Japan at 1 percent. By 2023, pay TV revenues will total $25 billion in China, $16 billion in India, $7.4 billion in Korea and $7.1 billion in Japan.
Conversely, Australia, Hong Kong, New Zealand, Malaysia, Singapore and Thailand will see revenue decline over the next five years, between minus-1 percent and minus-6 percent in compound annual growth.
MPA executive director Vivek Cuoto said the region is witnessing a shift toward high-speed broadband and online video consumption, which “together with piracy will continue to adversely impact pay TV industry growth.”
He added that “there will be more fixed broadband subs than pay TV subs across much of Asia Pacific by 2021, while the gap between the mobile broadband subs base, and pay TV and fixed broadband subs will further widen as mobile networks emerge as a major means for mass content distribution, accelerating the shift in content consumption from households to individuals.”
Sign up for THR news straight to your inbox every day