The media and entertainment industry in India consists of many different segments under its folds such as television, print, and films. It also includes smaller segments like radio, music, OOH, animation, gaming and visual effects (VFX) and Internet advertising.Entertainment industry in India has registered an explosive growth in last two decades making it one of the fastest growing industries in India. From a single state owned channel, Doordarshan in the 1990s there are more than 400 active channels in the country. Worldwide, 2010 saw the global economy begin to recover from a steep decline in 2009. Improved economic conditions in 2010 played a major role in a rebound in customer spend. Since the world economy begin to recover from the global financial crisis of 2008, improved economic conditions played a major role in rebound in consumer spend. While India was not critically impacted by the downturn in 2008 and 2009, it demonstrated one of the highest growth rates this year and continued to at a healthy pace. The rising rate of investments by the private sector and foreign media and entertainment (M&E) majors have improved India's entertainment infrastructure to a great extent. As per the recent report by PricewaterhouseCoopers[2] (PwC), Indians are likely to spend more on entertainment in the coming years with a steady growth in their disposable income. And as per the combined survey report by KMPG and FICCI, the entertainment industry in India is expected to expand by 12.5% every year and is likely to reach US$20.09 billion by the year 2013. The industry pegged at INR 5808 billion in 2009 as compared to INR 3565 billion in 2005. The Indian Media & Entertainment Industry grew from US$12.9 billion in 2009 to US$14.4 billion in 2010, a growth of 11 per cent, according to a report by the Federation of Indian Chambers of Commerce and Industry (FICCI) and research firm KPMG. The report also states that backed by positive industry sentiment and growing media consumption, the industry is estimated to achieve growth of 13 per cent in 2011 to touch US$16.2 billion. As the industry braces for exciting times ahead, the sector is projected to grow at a CAGR of 14 percent to reach US$28.1 billion by 2015.
Television is one of the major mass media of India and is a huge industry and has thousands of programs in all the states of India.. The major players being Doordarshan, STAR TV (Satellite Television Asia Network), Zee Television, United Television, CNN, Sony Television, ATN (Asia Television Network), BBC World, SUN TV, Discovery Channel, TNT and Others.India’s television business has an estimated $3.4 billion in revenue in 2005, according to PricewaterhouseCoopers.
Indian print industry is growing strong and is expected to grow similarly while the global print industry is moving towards digitalization and showing a negative growth rate year on year. The newspaper industry is also projected to perform well for the next five years growing at a CAGR of 10.1 per cent according to a report titled "India Entertainment and Media Outlook 2011" by PricewaterhouseCoopers. Print industry in India is the world's second largest with over 90 million copies in circulation daily after China.
Films are the most important form of entertainment in India. Film industry in India is among the largest in the world in terms of films produced (approximately 1000) in different languages which include films in Hindi, Kannada, Bengali, Tamil, Telugu, Punjabi and Malayalam. Approximately twenty-three million Indians go to see a film every day. Film Federation of India is the apex body of film industry in India whose objective is to popularize and promote the cinema. India has a National Film Development Corporation (NFDC) which finances some films. A few film makers, who would find it hard to obtain finance from the regular sources, have been financed by the NFDC. However, NFDC cannot be considered to play a central role in the film industry because it finances too few films which, too, are not of the type that has made the Indian film industry so vibrant.
Radio broadcasting in India started in British India in 1923 with the Radio Club of Bombay. All India Radio (AIR) was established in 1936.Famous stations are Radio Mirchi (of the Times Group) has maintained a lead position in most cities it operates in and other channels like Radio City, Red FM, Big FM, Fever, Radio One have also been able to get significant traction. Till 1990 Indian economy was closed, no private player was allowed to enter and Akashwani has the sole responsibility to cater to the wide and culturally diverse Indian consumer base. In the last 5 years, the Radio industry in India has seen a compound annual growth By the end of the 2010, there were 245 active radio stations in India and had a market size of INR 10 billion One of the major reasons for such an interest in the industry is the increased profitability. The government has cut the license fees to 1/10th of the previous amount.