Broadband internet access fuels market growth
Consumer spending is set to fuel strong growth in Australia’s entertainment and media sector over the next five years with the internet becoming one of the strongest growing industries according to a PricewaterhouseCoopers forecast.
According to the Australian Entertainment and Media Outlook, traditional media sectors relying on advertising as a main revenue source, including out-of-home, radio, newspapers and magazines will remain flat over the next five years, but post declines in overall revenue.
However, the advertising industry will benefit from investments in broadband technology in Australia, including Federal Government’s National Broadband Network and the growing prevalence of smart phones and wireless technology that is set to expand the market to new meet new consumer habits.
Australian rates of internet access is predicted to experience the most growth (10.4%) in coming years and the online advertising market is expected to be worth $6.8bn by 2013. The prevalence of ADSL2+ and high speed internet services will allow more Australian consumers to watch media online.
Online gaming is also expected to expand after growing 41% in 2008. The online gaming market that relies on high speed broadband access is predicted to grow to a $2.2 billion industry by 2013.