AUGUST 20249INDIA'S VIDEO CONTENT MARKET DRIVEN BY STREAMING: MEDIA PARTNERS ASIAPGCIL TO LAYDOWN UNDERSEA HVDC LINES FROM GUJARAT TO MIDDLE-EASTIndia's video market is projected to reach $13 billion in revenue by 2028, driven largely by the booming streaming industry, which consistently invests billions in content development annually, according to a new report by Media Partners Asia. As the world's most populous nation, India is currently the fastest-growing major global video market, with the video entertainment economy expected to grow at an 8 percent annual rate through 2028, fueled by premium on-demand streaming services.Investment in content within India increased to $5.8 billion in 2023, up from $3.3 billion in 2018. Although this investment level still lags behind Japan and South Korea, the Indian market shows significant potential for growth, particularly with strong commitments from streaming giants, including U.S. platforms. Netflix and Amazon are collectively investing $500 million annually in India to acquire and produce local content, according to Vivek Couto, managing director of MPA. Additionally, Jio Cinema, backed by billionaire Mukesh Ambani's Reliance Industries Ltd., is spending approximately $1 billion annually, primarily driven by sports content. The report projects that the streaming sector will create 280,000 jobs in India by 2028.India's streaming TV market has seen rapid growth and consolidation among a few major players in recent years. Walt Disney Co.'s India operation is merging with Reliance's Viacom18, expanding its streaming business through sports and a library of films and TV shows licensed from Paramount and HBO. Prime Video is also expanding in the country, with plans to release over 70 new series and films in the coming years. With 1.4 billion consumers, India has become the third-largest revenue growth driver for Netflix. State-run Power Grid Corporation of India Limited (PGCIL) is planning an ambitious undersea interconnection project worth up to Rs 40,000 crore with countries in the Middle East. This project aims to establish a high voltage direct current (HVDC) link from Gujarat's Bhuj to countries like Oman, Saudi Arabia, and the UAE, according to the company's Chairman and Managing Director R. K. Tyagi.The initiative, which involves laying a high-capacity cable on the seabed to connect with similar 'pulling stations' on the shores of the Middle Eastern countries, is expected to have a capacity of up to 2,500 MW and take up to six years to complete. This project aligns with Power Grid's strategy to continuously commission new projects to maintain and boost revenue growth, particularly as earnings from older transmission projects decline over time.In terms of financial performance, Power Grid experienced a relatively flat revenue growth in the June quarter but expects a modest topline increase of 4-5percent in FY25. To support this growth, the company plans to invest Rs 18,000 crore in the current fiscal year. The slower revenue growth in the June quarter was attributed to the 'capitalization' of only Rs 2,300 crore worth of projects. However, the company plans to significantly increase this figure to up to Rs 18,000 crore within the fiscal year, which is anticipated to enhance future growth rates.This strategic investment in undersea interconnection with the Middle East not only underscores Power Grid's commitment to expanding its infrastructure but also highlights its role in enhancing energy connectivity and cooperation beyond India's immediate neighborhood. TOPSTORIES
<
Page 8 |
Page 10 >