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Video On Demand Market on Track for Strong Growth, Estimated to Grow at 18.4% CAGR Through 2029

08-01-2025 04:07 PM CET | IT, New Media & Software

Press release from: The Business Research Company

Video On Demand

Video On Demand

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What Is the Expected CAGR for the Video On Demand Market Through 2025?
The market size of video on demand has witnessed a rapid escalation in recent years. It's projected to soar from a worth of $129.66 billion in 2024 to an estimated $153.97 billion in 2025, showing a compound annual growth rate (CAGR) of 18.7%. The exemplary growth observed historically can be linked to aspects such as increasing internet penetration, the adoption of smartphones and tablets, content licensing agreements, and a tweak in consumer tastes.

What's the Projected Size of the Global Video On Demand Market by 2029?
Over the coming years, the size of the video on demand market is anticipated to expand significantly, predicted to reach $302.39 billion in 2029, with a compound annual growth rate (CAGR) of 18.4%. Factors contributing to this projected growth during the forecast period include worldwide expansion, creation of original content, amalgamation of entertainment, mergers, and bundling. Vertical integration, content globalization, interactive content engagement, ad-backed models, and data-informed personalization are some of the main trends forecasted for this period.

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Top Growth Drivers in the Video On Demand Industry: What's Accelerating the Market?
The increase in demand for digital media devices is foreseen to drive the expansion of the video-on-demand market. Digital media devices are instruments that are used for recording, processing, transmitting, or showing digital information. The surge in the popularity of digital media devices like smartphones, tablets, and smart TVs is fueled by the consumer's growing need for handy entertainment and easy access to digital content. Video-on-demand services provide a diverse array of digital content, including movies and original content, encouraging consumer investment in digital media devices for hassle-free access to beloved movies and shows through streaming platforms. For example, a report released by ConsumerAffairs, a US-centered consumer news and advocacy firm, in September 2023, found that around 97% of the American populace owned a feature phone or smartphone the previous year. Moreover, forecasts suggest that the tally of American smartphone users will eventually surpass 364 million by the year 2040. Consequently, the escalating demand for digital media devices is facilitating the video on demand market's growth.

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What Trends Will Shape the Video On Demand Market Through 2029 and Beyond?
Leading corporations in the video-on-demand market, such as Sportradar AG, are prioritizing technological advancements using AI-based techniques. They aim to refine the smoothness of streaming experiences over various devices and network situations. This refinement improves user pleasure and lessens buffering issues. By integrating artificial intelligence into streaming platforms, they can sharpen areas such as content distribution, user interaction, and content suggestions. For example, Sportradar AG, a sports technology company based in Switzerland, introduced Sportradar 4Sight, an AI-driven streaming technology, in March 2024. The revolutionary system incorporates ultra-speedy data into live broadcasts, providing an uninterrupted supply of gripping data that appears instantaneously, from service speed and ball bounces to total shots in each rally. This next-generation technology is appealing to upcoming tennis enthusiasts who seek more immersive and tailor-made experiences.

What Are the Main Segments in the Video On Demand Market?
The video on demand market covered in this report is segmented -

1) By Component: Solutions, Services
2) By Platform Type: Smartphones, Tablets/Laptops, Smart TVs, Other Platform Types
3) By Business Model: Transactional Video on Demand, Subscription Video on Demand, Advertisement Video on Demand, Other Business Models,
4) By End-Users: Media, Entertainment, and Gaming, Travel and Hospitality, Education, Other End-Users

Subsegments:
1) By Solutions: Video Content Management, Video Streaming Solutions, Video Delivery Solutions, Video Encoding Solutions
2) By Services: Cloud-Based Services, Subscription-Based Services, Advertising-Based Services, Pay-Per-View Services

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Which Top Companies are Driving Growth in the Video On Demand Market?
Major companies operating in the video on demand market are Netflix Inc., Paramount+, YouTube, Hulu, Disney+ Hotstar, Amazon Prime Video, Starz Inc., Apple TV+, Acorn TV, Max, Crunchyroll LLC, Vimeo Inc., Fandango Media LLC, Kaltura Inc., Tubi Inc., Mubi, MX Player, Crackle Plus LLC, BritBox, Kanopy, Dacast Inc., ESPN Inc., Discovery Plus, Rakuten TV, ViacomCBS Inc

Which Regions Will Dominate the Video On Demand Market Through 2029?
North America was the largest region in the video on demand market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the video on demand market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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