INDIA ENTERTAINMENT ECOSYSTEM > REINVENT INNOVATION

Over the past 23 years, FICCI FRAMES has solidified its position as a pivotal business platform for the Media & Entertainment (M&E) industry. The annual convention facilitated discussions on regulatory issues, encouraged the development of innovative solutions, and fostered the exchange of global best practices. Participants engaged in various activities, such as content buying and selling, B2B meetings, and educational workshops and masterclasses, contributing to the continuous growth and progress of the sector.

The event also showcasesd cutting-edge technologies, facilitates business networking opportunities, and features content buying and selling activities. Additionally, FICCI Frames contributes to the industry’s continuous growth by offering educational workshops and masterclasses aimed at promoting awareness and professional development.

The event included a stunning assortment of luminaries and trailblazers who ignited the junction of creative and commerce within the media and entertainment (M&E) sector, in addition to providing a plethora of chances for industry professionals.

The inaugural session was attended by the Minister for Skills Development and Entrepreneurship, Government of Maharashtra, Shri Mangal Prabhat Lodha and Secretary, Ministry of Information and Broadcasting, Shri Sanjay Jaju, along with Actor Ms. Rani Mukherjee, FICCI Vice President Shri Anant Goenka, FICCI Chair of Media & Entertainment (M&E) Committee Shri Kevin Vaz and FICCI Chair for AVGC Shri Ashish Kulkarni amongst the dignitaries.

Addressing the participants of the FICCI Frames conference on behalf of the Government of Maharashtra, Shri Mangal Prabhat Lodha emphasized the importance of skilling and re-skilling in a youthful nation like India. He urged the industry to support the skill sector, stressing that the collective contribution of everyone is crucial to realizing the vision of a ‘Viksit Bharat’ as envisioned by the Honourable Prime Minister.

Lodha’s address highlighted the significant role that the media and entertainment industry can play in promoting skill development and fostering growth in the country. By sharing knowledge and resources, the industry can contribute to the overall development of the nation and empower its citizens to achieve their full potential.

In his special address at the FICCI Frames conference, Sanjay Jaju, Secretary of the Ministry of Information & Broadcasting (I&B), highlighted the pivotal role of the Media & Entertainment (M&E) sector in shaping society, influencing perspectives, and reflecting collective efforts. Jaju emphasized the industry’s creative, innovative, and culturally rich contributions, not only within India but also on a global scale.

Acknowledging the sector’s deep resonance with the diverse fabric of Indian life, Jaju pointed out that M&E transcends boundaries and fosters unity among the country’s diverse population. He further noted that the M&E segment is a unique industry that combines growth and employment opportunities while also being a sunrise sector on the cusp of disruptive innovation. As such, it plays an essential role as a multiplier for the Indian economy.

Jaju’s address not only celebrated the M&E sector’s importance and impact but also acknowledged its potential to drive further growth and transformation. By nurturing the industry’s creative forces and innovative spirit, India can continue to strengthen its position as a global leader in the Media & Entertainment landscape.

Sanjay Jaju, Secretary of the Ministry of Information & Broadcasting (I&B), spoke about India’s ongoing digital transformation and its impact on the Media & Entertainment (M&E) sector. He highlighted the rapid shifts occurring within the industry due to the widespread availability of online media content, made possible by the increasing accessibility of affordable smartphones and data connectivity across the nation.

Jaju shared that India has over 90 crore (900 million) internet users, 60 crore (600 million) smartphones, and 4 crore (40 million) connected TVs, demonstrating the country’s robust digital infrastructure. These advancements have played a crucial role in enabling the growth and evolution of the M&E sector, connecting audiences with content in new and innovative ways.

As the digital landscape continues to evolve, Jaju’s remarks underscore the need for the M&E industry to adapt and capitalize on emerging technologies and trends. By doing so, the sector can harness its potential as a key driver of growth and transformation in the nation’s economy while catering to the changing needs and preferences of audiences in an increasingly connected world.

The size of India’s M&E segment is estimated to be near 2 lakh crore, as per FICCI-Ernst & Young report of last year. Stating this, I&B Secretary also informed that digital media segment is witnessing “huge” growth of 30 percent year-on-year. The real shift has come in with the growth of OTT segment. We have close to 60 OTT platforms in the country, many of which are in regional languages. The OTT segment is currently valued at Rs 10 thousand crores in India. This segment is also drawing foreign investments because of growth of content in our country. Lots of countries are becoming top international market for India’s OTT content, stated the I& B Secretary. “All these data paves way for looking at M&E sector as a chief contributor to India’s soft power and India’s ascendance among comity of nations”, stated the I& B Secretary.

The sector is renowned for its creativity, innovation, and cultural richness. It serves as a beacon not only for our nation but also for the world,” he added.Addressing the ‘FICCI FRAMES 2024’, Mr. Jaju stated that the government recognizes the pivotal role that Indian media and entertainment sector plays in shaping our society, influencing our perspectives, and reflecting our collective efforts. “India is going through a digital transformation phase and the sector is also witnessing rapid shifts with the availability of content which is online,” he stated. “We are also witnessing a rapid increase in the foreign investments especially in the OTT segment which paves the way for looking at this segment as a chief contributor to India’s soft power,” noted Mr. Jaju.

I & B Secretary stated that the National Animation, Visual Effects, Gaming and Comics (AVGC) policy is now in its advanced stage and is a pivotal component of “Create in India for the World”. He assured that the AVGC policy, that has been drafted with inputs from industry stakeholders, will facilitate investment, foster innovation, ensure skill development, protect intellectual property and help build world class infrastructure. I & B Ministry has also envisaged setting up of a National Centre of Excellence for AVGC and Extended Reality sector which will create a world-class talent pool for this segment and would also allow setting up of incubation centres and provide guidance to the industry.

I&B Secretary also informed that recently a scheme has been announced for giving incentives to foreign filmmakers for shooting in India. He said that India has signed co-production treaties with multiple countries to ensure that big budget international films come to our country. This will not only bring in investments but create cross-country linkages and catapult us to showcase our soft power, he added.“

As we move forward, the Government of India’s focus is on creating a conducive environment for the industry to thrive”, he said. The I & B Secretary Shri Jaju also said that conferences like FICCI FRAMES will make India a world leader in M&E segment and will bring in multiplier effect and promote economic development in our country.

Sanjay Jaju, Secretary of the Ministry of Information and Broadcasting, emphasized that the much-anticipated AVGC (Animation, Visual Effects, Gaming, and Comics) policy is currently in an advanced stage of development. This comprehensive policy aims to facilitate investments, promote innovation, ensure skill development, and provide intellectual property protection to support the growth of the AVGC sector in India.

Jaju affirmed that the AVGC policy will not only foster domestic investments but also encourage international collaboration and promote the establishment of world-class infrastructure. Additionally, it will focus on creating a robust ecosystem for skill development, enabling professionals to thrive in the rapidly evolving industry.

The Ministry’s commitment to advancing the AVGC policy underscores the government’s recognition of the sector’s immense potential in shaping society, influencing perspectives, and driving economic growth. As the policy progresses towards implementation, it is expected to play a vital role in fostering a vibrant and prosperous AVGC industry in India.

“I can assure you that this policy is not only going to facilitate investments within our country and the states but will also foster innovation. It will ensure skill development and help protect intellectual property and will also contribute to building world-class infrastructure. We also envisage setting up of National Center of Excellence for animation, VFX, and extended reality sector along with setting up incubation centers,” he added.

At FICCI FRAMES 2024, acclaimed Indian actress Rani Mukerji expressed her belief that the convention has set the agenda for an ever-changing media and entertainment industry. She highlighted the challenges posed by the pandemic, which compelled the industry to adapt, innovate, and reimagine ways to connect with audiences.

“The pandemic forced us to adapt, innovate, and reimagine the ways in which we connect with audiences. As consumer preferences evolve, there is a growing demand for unique and innovative content delivery,” she added.

Mukerji’s remarks emphasized the significance of FICCI FRAMES in shaping the future of the M&E sector by fostering collaboration, innovation, and growth. With its theme, “RRR: Reflections, Realities, and Road Ahead,” the convention served as a platform to explore the evolving landscape of the industry and devise strategies for its continued progress.

As a prominent figure in Indian cinema, Rani Mukerji’s presence at FICCI FRAMES 2024 underscored the importance of the event in bringing together key stakeholders and thought leaders to drive meaningful change and advancement within the M&E industry.

FICCI Frames has been an essential business platform for the Media & Entertainment industry over the past 24 years, providing a forum for industry professionals to discuss sector-related issues, develop innovative solutions, and share global best practices.

The FICCI-EY report, titled “#Reinvent: India’s media & entertainment sector is innovating for the future,” launched at FICCI FRAMES 2024 in Mumbai, revealed impressive growth within the Indian M&E sector. In 2023, the sector experienced an 8% growth, reaching INR2.3 trillion (US$27.9 billion), which is 21% above its pre-pandemic levels in 2019.

This remarkable growth demonstrates the resilience and adaptability of the Indian M&E sector, as it continues to innovate and create new opportunities in a rapidly changing landscape. The report highlights key trends and insights that can inform future strategies and support the ongoing development of the industry.

As the M&E sector continues to evolve and embrace new technologies and platforms, it is well-positioned to maintain its upward trajectory and contribute significantly to the Indian economy. The findings of the FICCI-EY report provide valuable guidance for businesses and policymakers alike as they navigate the future of this dynamic and influential industry.

New media, comprising digital and online gaming, emerged as the frontrunner in growth, contributing INR 122 billion of the overall increase of INR 173 billion, and consequently, increased its contribution to the M&E sector from 20% in 2019 to 38% in 2023.

Experiential (outside the home and interactive) segments continued their strong growth in 2023, and consequently, online gaming, filmed entertainment, live events, and OOH media segments grew at a combined 18%, contributing 48% of the total growth. With the exception of television, which experienced a marginal decline of 2%, all other segments experienced positive growth in 2023.

Together with Mr. Kevin Vaz, the CEO of Viacom 18 Media Pvt. Ltd. and the chair of the FICCI Media and Entertainment Committee, Mr. SK Pathak, the FICCI secretary general, gave a presentation. Frames 2024 was honored to have Turkish icon Hande Ercel and actress Rani Mukherjee attend, adding a dash of star-studded elegance to the event.

Mr Kevin Vaz, Chair, FICCI Media and Entertainment Committee and CEO – Broadcast and Entertainment, Viacom 18 said that the road ahead for the industry is brimming with possibilities and challenges alike. The integration of artificial intelligence promises to reshape the landscape of content creation, distribution, and consumption, particularly generative AI, which is now an inexorable part of M&E supply chains, he added.

Mr Kevin Vaz, Chairman, FICCI Media and Entertainment Committee and Chief Executive Officer – Broadcast Entertainment, Viacom 18 said, “India is a unique market where the M&E sector distinguishes itself through a harmonious fusion of tradition and innovation. Here, technology-enhanced entertainment channels, OTT platforms, AI-powered newsreaders, traditional print media, flagship films, and short-form content not only coexist but thrive together, showcasing the vibrant diversity and dynamic growth of our industry. The Government of India’s thrust on improving digital infrastructure in the country combined with our ambition to be at the forefront of the next big technological thrust in media and entertainment, our sector is primed for a massive transformation.”

“In 2024, digital media is poised for explosive growth, potentially overtaking television to become the leading segment of the M&E sector. This surge in digital media is forecasted to propel the M&E sector’s growth to a 10 per cent annual rate, crossing Rs 3 trillion (USD 37.1 billion) by 2026,” said Kevin Vaz Chairman, FICCI Media and Entertainment Committee.

Mr Ashish Pherwani, Partner and Media & Entertainment Leader, EY India said, “I believe the M&E sector is at the “inflection point” we foresaw in 2018, with the dominance of digital channels over traditional media. In 2023, new media comprised 52% of total advertising revenues, yet, unlike in many other countries, Indian traditional media also grew. This underscores the unique Indian market where while we are witnessing a seismic shift towards digital consumption, there is still adequate headroom for traditional media to grow.”

According to projections, India is poised to have nearly a billion active screens by 2030, with around 240 million categorized as large screens such as TVs, laptops, and PCs, while the remaining screens will be small, including mobile phones and phablets. This growth in screen usage underscores the increasing importance of digital platforms and the demand for diverse content in the country.

As the market evolves, Pay TV, Free TV, and Connected TV are expected to play significant roles, catering to an estimated 60 to 80 million households each. This expansion of television services will provide more choices and accessibility for consumers across India.

The projected 3:1 ratio in favor of mobile phones highlights the sustained demand for short videos and social commerce. This preference for smaller screens emphasizes the need for businesses and content creators to optimize their offerings for mobile platforms and develop engaging, bite-sized content to capture and retain the attention of this growing audience.

Overall, these projections point to a rapidly expanding digital landscape in India, offering new opportunities for innovation, investment, and collaboration in the Media & Entertainment sector.

India’s digital landscape is unique in that it boasts a high level of online engagement, with Indians downloading more apps and spending more time online than most countries worldwide, second only to China. Online video content is particularly popular among the 563 million Indian internet users. However, despite this high consumption rate, Indians spent only 60 cents per person on online media in 2023, significantly lower than the US ($45 per person) and China ($52 per person).

This trend of high consumption but low spending is expected to continue in the near future, with digital subscriptions accounting for just 12% of the total value of digital media in 2023 and the following two years.

Sanjay Jaju, the Secretary of India’s Ministry of Information and Broadcasting, emphasized the crucial role of the media and entertainment industry in shaping society, influencing perspectives, and significantly impacting the nation’s economy. He highlighted the sector’s importance in driving cultural, social, and economic growth, as well as fostering innovation and collaboration.

With Jaju’s extensive experience in the public sector and his commitment to supporting the industry, the Media & Entertainment sector in India is expected to continue evolving and contributing to the country’s overall development. By addressing the sector’s challenges and creating opportunities for stakeholders, Jaju aims to further strengthen the industry’s position both nationally and globally.“

The sector is renowned for its creativity, innovation, and cultural richness. It serves as a beacon not only for our nation but also for the world,” he added.

During his address at the ‘FICCI FRAMES 2024’ event, Sanjay Jaju, Secretary of the Ministry of Information and Broadcasting, emphasized the pivotal role of the Indian media and entertainment sector in shaping society, influencing perspectives, and contributing to the nation’s economy. Jaju noted that the government recognizes the importance of this sector in driving cultural, social, and economic growth.

Furthermore, Jaju observed the rapid increase in foreign investments, particularly in the OTT segment. He suggested that this growing interest paves the way for the segment to become a significant contributor to India’s soft power.India is going through digital transformation phase and the sector is also witnessing rapid shifts with the availability of content which is online,” he said.

“The Indian media and entertainment sector not only has huge growth potential but also brings in a lot of employment. Our focus will be on creating a conducive environment for the industry to thrive. All stakeholders need to collaborate and innovate to capitalize on the huge opportunities,” he noted.

As the FICCI FRAMES 2024 event continued, industry professionals and stakeholders had the opportunity to engage in meaningful discussions, forge new connections, and explore innovative strategies that will help shape the future of the Media & Entertainment sector in India and globally.

The three-day event witnessed presence of Arjun Nohwar, Warner Bros Discovery; Ajay Bijli, Managing Director, PVR INOX; Apoorva Mehta, CEO, Dharma Productions, Film Producer Ekta Kapoor; Akshaye Widhani, CEO, Yashraj Films; Sushant Sreeram, Director, Amazon Prime Video; Monika Shergill, Vice President, Content, Netflix India; Sandhya Devanathan, VP and MD, Meta, India, Danish Khan, Business Head of SonyLiv and Studio Next, acclaimed author Amish Tripathi; Irina Ghose, Managing Director, Microsoft, and esteemed filmmakers Anand L Rai, Hansal Mehta, Anubhav Sinha, along with the dynamic duo Raj & D K, alongside numerous Indian actors participated in various sessions and fireside chats.