Research |
Streaming revenue overtakes public TV in Europe
New research by Ampere Analysis
shows that total revenues
from paid streaming services
( including subscriptions and
advertising) surpassed public TV
revenue( from taxes, licence fees,
and advertising) in Europe for
the first time in 2024. Streaming
has enjoyed strong growth in
Europe, with Ampere predicting a
37 % increase in revenue to reach
€ 38.4 billion by 2029, primarily
driven by US streaming giants. As
a decline in the financial power of
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public service broadcasters would
have significant implications for
the future of European TV, how
should the PSBs respond?
Key findings: Streaming
revenues soar as public TV
revenue stagnates
• Streaming revenue in Europe
is expected to grow by 37 %
to € 38.4 billion by 2029,
with Netflix remaining the
most important contributor.
Meanwhile, public TV revenue
growth from licence fees,
taxes, and advertising is
stagnant, projected to rise
by just 1 % to € 27.9 billion by
2029. This trend is particularly
challenging for countries such
as France, where alternative
funding models have replaced
licence fees
• The US streaming giants
have enjoyed strong growth
in their European revenues.
Netflix leads the growth
following the introduction of
its ad tier in 2022, its account
sharing crackdown, and more
recent expansion into live
events. Disney + and Amazon
also introduced ad-supported
plans in the region, so by
2029, advertising will account
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for 8 % of these groups’ European revenues.
• Subscription price hikes from streamers have also helped drive further growth, as have further launches of new products – such as Max’ s European launch
• In 2024, public broadcasters commissioned 43 % of all TV titles in Europe, acting as a stabilising force in the broader European production sector. However, a decline in their financial power could have significant implications for the future of European TV
• Despite the changing financial power, European public service broadcasters’ video-on-demand services are highly popular among local audiences and consistently rank among the most used VoD services. According to Ampere’ s biannual survey of Internet households, local public service broadcasters’ VoD services were the second most used streaming video platform in Q3 2024 in the UK, Denmark, and Finland, while in Sweden and Norway, respective local public service broadcasters’ platforms ranked third.“ While Ampere’ s projected public TV revenue growth represents a challenging outlook, Public Service Broadcasters remain a crucial stabilising force in the European TV landscape,” advises Sam Young, analyst at Ampere Analysis.“ To remain competitive amid shifting viewing habits, and in the face of global streamers, PSBs must prioritise the development of their streaming platforms and find innovative ways to operate within limited and often uncertain funding structures. Forming
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ambitious strategic partnerships
can enable them to continue to
produce high-quality content at
lower costs and expand their
audience reach. However, local
governments must recognise
the need for financially
sustainable models, especially as
broadcasters face rising content
costs, driven by increasing
competition from global
streamers. Adequate funding
is not only essential for PSBs
to keep investing in distinctive
programming and fulfilling their
public service remits, it is also
necessary to support the wider
European production sector.”
SVoDs surge, but pay-TV resilient in France
France’ s video entertainment
market grew by 3 % in 2024,
to achieve a total value of € 8.6
billion, according to the latest
Futuresource Consulting video
insights report.
The SVoD surge remains the
primary driver of growth, with
consumer spend rising 11 %
year-on-year, to reach € 3.1 billion
in 2024. SVoD now accounts for
36 % of total video spend, and
Futuresource expects the share to
expand to 43 % by 2029.
“ SVoD continues its
momentum, pushing the market
forwards in France,” says Joanna
Wright, senior market analyst at
Futuresource Consulting.“ We’ ve
seen a new service launch from
Max, and major players are
continuing to invest in premium
content. They are also refining
their content strategies and pricing
models to sustain revenue growth.”
“ While the landscape is still
dominated by Netflix and Amazon,
Disney, who remains Number 3,
has been reviewing its strategy.
It ended its partnership with
Canal + and negotiated a new
nine-month release window for
its films, in return for an increase
in its investment in local content
production. With all this action,
we anticipate a steady rise in
consumer spend, despite a more
general slowdown in subscriber
growth moving forward,” she adds.
Despite SVoD’ s continued rise,
pay-TV maintains its position as
a significant revenue provider
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for the market. In 2024, it accounted for approximately 45 % of consumer spend. However, as consumers gravitate towards digital alternatives, Futuresource forecasts pay- TV’ s share to decline to 37 % by 2029. Strategic partnerships and content bundling will be crucial for operators aiming to sustain engagement in an increasingly fragmented market.
French box office spend accounted for 15 % of overall entertainment spend in 2024, reaching € 1.3 billion. While cinema admissions grew very slightly, revenue declined, impacted by a weaker Hollywood slate and competition from major sporting events such as the Paris Olympics and UEFA European Championship. However, strong local productions provided a boost, with Un P’ tit Truc en Plus leading the box office with 10.8 million admissions.
“ The resilience of French cinema is clearly evident,” says Wright,“ with locally produced films driving strong audience demand. Looking ahead, we’ re seeing a promising pipeline of both French and international releases, which should help box office revenue surpass prepandemic levels by 2027.”
While the transactional video market remains a relatively small component of overall video spend in France, digital formats continue to gain traction. In 2024, digital transactional video grew 2 %, with 4 % CAGR growth expected out to 2029. Notably, Un P’ tit Truc en Plus became the best-selling digital title ever released in France, highlighting a growing appetite for local content in digital formats. However, Futuresource notes that the digital segment is not expanding quickly enough to offset the decline in physical video.
“ Looking out towards 2029, we expect the total French video entertainment market to achieve € 9.6 billion, growing at an average annual rate of 2 per cent,” says Wright.“ SVoD will continue to be the primary growth engine, with consumer spend set to overtake pay-TV for the first time in 2027.”
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