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Emerging Trends In The Media And Entertainment Sector
New distribution channels - The latest channel through which the consumers are obtaining entertainment is the mobile phones downloading movie clips, games, ring tones etc. Internet is also fast emerging as a widely used distribution channel.
The two main trends that have been observed during the last year are
• Diversification by media companies
• Increased foreign investment
Convergence - In the future, convergence is expected to have a significant impact on the growth of media and entertainment industry. Convergence can be defined as changing the way consumers consume content and the manner content is delivered to consumers.
"In television, it is expected that balance of power will shift in favour of broadcasters with the adoption of alternative distribution platforms such as DTH (direct-to-home), CAS (conditional access system), and IPTV (Internet protocol television)," said Mr. Narasimhan, Head, Crisil Research.
The process of convergence is facilitated and accelerated by the rapid technological advances and the broadband throughout the world. Convergence is expected to change the traditional industry structures, the existing business models and distribution mechanisms.
