Mumbai, June 6 (IANS): With the growth of OTT (over-the-top) videos, online gaming and Internet advertising, the Indian entertainment and media industry is expected to reach Rs 451,373 crore by 2023, growing at a compound annual growth rate (CAGR) of 11.28 per cent between 2018 and 2023, according to a report by PricewaterhouseCoopers (PwC), on Thursday.

"India is the fastest growing entertainment and media market and is expected to keep that momentum," Rajib Basu, Partner and Leader - Entertainment and Media, at PwC India, said in a statement.

The OTT video market of the country will grow at 21.8 per cent CAGR from Rs 4,464 crore in 2018 to Rs 11,976 crore in 2023. Subscription video on demand will increase at 23.3 per cent CAGR from Rs 3,756 crore in 2018 to Rs 10,708 crore in 2023.

PwC research shows in the next five years India will see a significant growth in OTT, online gaming and Internet advertising. "Growth in these sub-sectors spurs from the growing trends around personalisation and increased digitalisation," Basu said.

According to Basu, consumer can now control their media consumption through an expanding range of smart devices and curate their personal selection of channels using OTT services.

"Content is being pitched not at audiences of billions but separately at billions of individuals. The soon-to-arrive 5G networks will create further use cases, enhance user experiences and create disruptions leading to newer business opportunities. Long-term players in the entertainment and media space need to gear up to take advantage of such opportunities," he said.

Total Internet advertising revenue for India in 2018 was Rs 8,150 crore, which was a 40.2 per cent year-on-year increase over 2017.

The report says the music, radio and podcasts market was worth Rs 5,753 crore in 2018, up from Rs 3,890 crore in 2014. With streaming services finally germinating, total music revenue is forecast to hit Rs 10,858 crore in 2023, rising at 13.5 per cent CAGR.