A new forecast from Ampere Analysis reveals a significant shift in global content investment. Streaming platforms are projected to outpace commercial broadcasters, driven by factors such as password-sharing crackdowns and investments in major sporting events. Global content spend is expected to rise only 0.4% year-on-year to $248 billion in 2025. This follows a 2% growth in 2024, fueled by increased ad spending during the US Presidential Election, the Summer Olympics, and the end of the 2023 Hollywood strikes.
Streaming services are set to invest a substantial $95 billion in content this year, representing 39% of total global investment. This surpasses the spending of commercial broadcasters, marking a significant turning point in the industry. However, the report notes that these platforms are likely to moderate their investment growth to maintain healthy profit margins.
Conversely, US commercial broadcasters are reducing spending after a year of elevated investment tied to the Presidential Election and the Olympics. This reflects a broader five-year trend of declining advertising revenue linked to decreased linear viewing. Peter Ingram, Research Manager at Ampere Analysis, commented: “Spend in 2024 was in line with Ampere’s expectations. The recovery aided by the US election, the Summer Olympics, and the end of the Hollywood strikes met the limitations of macroeconomic challenges and ongoing focus on profitability from major streamers.”
Expenditure by VOD services will see a 6% increase, solidifying their position as the dominant force in content creation. This is the first time they have outstripped commercial broadcasters. Outside the United States, commercial broadcasters are demonstrating continued resilience, maintaining their content spending through 2025.