The Asia Pacific video streaming market size was worth USD 8,582.4 million in 2018 and the market is anticipated to grow at a CAGR of 20.7% over the forecast period 2019 to 2025. The growing penetration of innovative technologies such as artificial intelligence and blockchain has improved video streaming experiences and bolstered its demand. Additionally, the increasing adoption of cloud-based video streaming platforms has led to an increase in the reach of video content, thereby, influencing the market growth. Cloud adoption is gaining traction among several countries in the Asia Pacific in the recent past.
Innovations in the delivery of service and cost reduction are likely to affect the market positively. However, the lack of digital connectivity is impeding the growth of the market. Industry players are focusing on addressing these issues by establishing basic infrastructure. Consequently, emerging countries in the Asia Pacific are projected to witness significant adoption of video streaming services on mobile computing devices.
The consumption of digital data has increased considerably owing to the increasing penetration of smartphones coupled with the advent of high-speed internet connectivity. As studied by GSMA, nearly 2.8 billion people, which are around 67% of the population in the Asia Pacific, have subscribed to mobile connections in 2018. Additionally, soon to come 5G technology will further generate a huge volume of data, thereby, bolstering the market growth.
Easy access to high-speed internet makes video content available across various networking platforms. Social media sites such as Instagram, Facebook, Google Hangout, and Twitter offer easy accessibility to video content and entertainment services in real-time. Therefore, the increasing numbers of users on these platforms are estimated to bolster the demand for this market over the next few years in the Asia Pacific. Further, these trends have resulted in increasing production of on-demand content in the region.
By streaming, the market is segregated into non-linear and live video streaming. Of them, in 2018, the live video streaming services were the largest segment and projected to maintain their dominance over the next few years. However, with increasing demand for global content and changing user preferences, the non-linear segment is gaining traction in the recent past.
The non-linear category is estimated to expand at the highest CAGR from 2019 to 2025. Advantages such as flexibility to watch videos anytime, easy recording feature, and other conveniences are likely to drive this segment growth. Additionally, major streaming service providers are aiming to strengthen their foothold in emerging countries like India, thereby, supplementing the market growth.
Depending on the applications, the APAC video streaming market is categorized into web browsing and advertising, social networking, gaming, e-learning, real-time entertainment, and others. Among them, in 2018, the real-time entertainment category held the largest share in the market and the segment is anticipated to expand considerably from 2019 to 2025.
On the other hand, the gaming category held a significant share in the market in 2018 and is likely to grow at a steady pace over the next few years. The increasing number of gamers and the growing trend of broadcasting games to establish better interaction with viewers. Streaming video games using remote servers is likely to be the future of the gaming industry, thereby, offering lucrative opportunities for the segment.
Various social networking brands are launching live streaming features on their platforms to consolidate their hold on social media platforms. Further, the live streaming of videos has become a new norm to influence followers on social media sites. With the increasing number of influencers following this trend, the market is estimated to witness growth over the forecast duration.
By solution, the market is categorized into Pay T, Internet Protocol TV (IPTV), and Over the Top (OTT). IPTV offers content on-demand and lives TV programs. While OTT offers TV content and films over the internet without a subscription to Pay TV or cable service. Pay-Tv is known as premium television or subscription television that offers content through digital or analog cable. Among these solutions, the OTT category held the largest share in 2018 and is anticipated to continue its dominance from 2019 to 2025. The segment is further estimated to grow with the highest CAGR owing to an increasing number of subscribers over the forecast duration.
The popularity of video streaming is gaining traction in various industries such as healthcare, gaming, and education. The increasing number of consumers opting for video streaming platforms such as YouTube and Netflix has significantly attributed to the growth of the market. Additionally, the rising demand for automation across businesses and the easy availability of broadband services have spurred the growth of the market.
By platform, the APAC video streaming market has been bifurcated into laptops & desktops, smart TV, smartphone and tablets, and gaming console. In 2018, the smartphone and tablets segment held the largest share and projected to account for the significant share in the market over the forecast duration. This growth is attributed to the increasing number of smartphone and tablets users across the Asia Pacific in the past few years. Countries such as China and India are the major market for a smartphone, which, in turn, drive the segment growth.
On the other hand, the smart TV category is also witnessing significant growth owing to its increasing popularity and easy accessibility of the internet. The laptop & desktop and gaming console segments are estimated to register moderate growth over the forecast period.
Depending on the service, the market is segregated into managed services, training & support, and consulting. Among them, the training & support category accounted for the largest share in the market and is estimated to continue its domination over the next few years. The growth of this segment is attributed to the increasing number of outsourcing services providers in the Asia Pacific. Additionally, industries like BFSI, telecom, healthcare and IT have seen a steady rise in China, Japan, and India.
Companies face various challenges to train their staff and use several mediums to make their training programs effective and engaging. The use of video streaming is gaining traction for training among enterprises. Live streaming video contents help retain the users’ attention for a longer time and enhances the learning experience. Therefore, increasing the use of video streaming services in corporate training is augmenting the segment growth.
By revenue model, the Asia Pacific video streaming market has been bifurcated into rental, subscription, and advertising. In 2018, the subscription model held the largest share in the market and projected to retain its position by the end of the forecast duration.
The demand for connected devices is gaining traction as they allow easy access to a variety of video content irrespective of location. Most of the video streaming platforms offer subscription-based access to their content. For example, a popular video streaming platform, Netflix allows its users to access video content through a paid subscription. Additionally, the popularity of subscription services is also gaining traction owing to the increasing demand for premium content from consumers.
Based on deployment, the market is categorized into on-premise and cloud. In 2018 the cloud division held the largest share in the market and was estimated to further dominate throughout the forecast period. The growing penetration of cloud services is due to the rapidly growing cloud-enabled video streaming service in China. Other leading countries such as Japan and India are witnessing significant growth in cloud adoption. The increasing popularity of the cloud is also attributed to convenience such as easy accessibility of contents through any device.
Considering the increasing number of internet users in APAC, governments in various countries are aiming to collaborate with Global System for Mobile Communications (GSMA) and International Telecommunication Union (ITU) to improve network connectivity and augment the use of cloud-based applications. Thus, such initiatives by governments are estimated to fuel the growth of the segment over the forecast duration.
By user, the market is segregated into commercial and residential. In 2018, the commercial category led the market to occupy the highest share and is expected to retain its dominance over the forecast duration. On the other hand, the residential category is predicted to expand with the highest CAGR from 2019 to 2025. The increasing penetration of digital media has led to a change in advertising approaches from traditional to digital content.
Further, telecom operators are collaborating with video streaming platform providers to strengthen their dominance in the market. This trend is anticipated to continue over the next few years and bode well for the growth of the residential segment.
By countries, the APAC video streaming market has been bifurcated into India, China, South Korea, Japan, Singapore, and Australia. Among them, in 2018, China generated the highest revenue on account of the presence of a large number of consumers for video content. Owing to the growing number of internet users and smart penetration, South Korea and India are also estimated to offer a lucrative opportunity for the market players from 2019 to 2025.
Liberalization in the telecom industry led to a rise in investment and competitive costs for various video streaming services are attributing to the growth of the market in the region. Leading Chinese companies such as Baidu, Alibaba and Tencent are investing a considerable amount to create appealing content and expand their user base. However, these contents are still in the early stage at the global level. Thus, the high costs incurred in content creation may hamper the market growth in the next few years.
Covid-19 has positively affected the growth of this market. Owing to the lockdown imposed by several governments following the pandemic outbreak, people were forced to stay at their homes. The data consumption and demand for video streaming services have increased as people are quarantining themselves in their homes. Time spending on social media has increased by over 20% during this pandemic, which, in turn, has positively affected the market growth. Further, people spending on subscription-based video platforms have increased considerably owing to the closure of cinema halls and multiplexes. Additionally, the education sector has witnessed a rapid surge in the demand for video content as schools and colleges have stopped their operations.
Leading players operating in the market are Google Inc., Tencent, Netflix, Inc., iQIYI, Inc., Amazon Web Series, Inc., and Microsoft Corporation. Owing to the increasing penetration of new players, the market continues to become competitive in the next few years. The rising competition is likely to result in a decline in prices, consequently, driving the market growth.
Major players are emphasizing improving their product offering by increasing their line of products. For example, iQIYI, Inc., in March 2019, collaborated with a telecommunication company China Unicom (Hong Kong) Limited to launch an 8K virtual reality visual experience. Thus, the introduction of such innovative products is anticipated to drive market growth along with enhancing the consumer experience.
The base year for estimation
Actual estimates/Historical data
2014 - 2017
2019 - 2025
Revenue in USD Million and CAGR from 2019 to 2025
China, Japan, India, South Korea, Australia, and Singapore
Volume forecast, company share, competitive landscape, growth factors, and trends
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This report forecasts revenue growth at Asia Pacific levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For this study, Million Insights has segmented the Asia Pacific video streaming market report based on streaming, solution, platform, service, revenue model, deployment, user, application, and country:
• Streaming Outlook (Revenue, USD Million, 2014 - 2025)
• Live Video Streaming
• Non-linear Video Streaming
• Solution Outlook (Revenue, USD Million, 2014 - 2025)
• Internet Protocol TV
• Over the Top (OTT)
• Platform Outlook (Revenue, USD Million, 2014 - 2025)
• Gaming Consoles
• Laptops & Desktops
• Smartphones & Tablets
• Smart TV
• Service Outlook (Revenue, USD Million, 2014 - 2025)
• Managed Services
• Training & Support
• Revenue Model Outlook (Revenue, USD Million, 2014 - 2025)
• Deployment Outlook (Revenue, USD Million, 2014 - 2025)
• User Outlook (Revenue, USD Million, 2014 - 2025)
• Application Outlook (Revenue, USD Million, 2014 - 2025)
• Real-time Entertainment
• Web Browsing & Advertising
• Social Networking
• Country Outlook (Revenue, USD Million, 2014 - 2025)
• South Korea
Research Support Specialist, USA