Global entertainment industry hits $3T as digital ads and AI reshape growth

From streaming wars to AI-driven ads, the entertainment world is transforming. Discover which markets—and tech—are leading the $3.5T charge by 2029.

, and Administrator

2026 March 31 . 5:02 PM

2 min read

The image shows an infographic poster with text and images that reads "Investing in America" and... — The image shows an infographic poster with text and images that reads "Investing in America" and provides information about the various industries that are investing in the United States. It includes details such as the number of jobs available, the types of investments available, and the estimated time it takes to invest in each industry. The poster also includes visuals such as graphs and charts to help illustrate the data.

Global entertainment industry hits $3T as digital ads and AI reshape growth

The global entertainment and media (E&M) industry hit $3 trillion in revenue during 2024. New figures show steady growth ahead, with projections reaching $3.5 trillion by 2029. Digital advertising and emerging markets are playing a key role in this expansion. The industry's overall revenue is expected to rise at a compound annual growth rate (CAGR) of 3.7% until 2029. Advertising alone will outpace other sectors, growing at 6.1%—three times faster than consumer spending (2%). Within advertising, connected TV in-stream ads are set to expand by 14% annually, while retail advertising will grow at 15%.

AI-driven innovations are pushing connected TV ad revenues toward $51 billion by 2029, matching 45% of traditional broadcast TV earnings. Meanwhile, the video games market, valued at $224 billion in 2024, is projected to near $300 billion by 2029. Non-digital revenue, such as live music, events, and cinema ticket sales, still dominated consumer spending in 2024, accounting for 61% of the total. However, digital segments are catching up. India's internet advertising market is forecast to grow at 15.9% annually, while China's E&M sector will expand at 6.1%, driven by an 8.9% surge in its internet advertising. The global cinema landscape has also shifted since the pandemic. The combined share of the five largest US studios (Disney, Warner Bros., Universal, Paramount, and Sony) fell from 85-90% in 2020 to around 70-75% by 2025. International productions, particularly from China, India, and South Korea, have gained ground, with China alone capturing 25% of the global box office in 2024.

By 2029, the E&M industry will reach $3.5 trillion, with digital advertising and AI-powered platforms leading the way. Growth in regions like India and China, alongside rising demand for gaming and connected TV, will reshape revenue streams. Traditional sectors, including cinema, continue to adapt as global competition increases.