A $10 billion streaming boom is coming to Asia. But are content creators ready?

As more and more people ditch TV, Asia is set for a massive switchover to watching content online in the next few years, as well as big investments in content that will create jobs.

While Netflix-style services spent US$2.7 billion on content for Asian audiences in 2017, that will rocket to US$10.1 billion by 2022, according to a report by consulting firm Alpha Beta out this week.

Photo credit: Pixnoo / 123RF

Around US$4 billion of this future spending is in the form of foreign direct investment into the region by global players, creating Asian content for the continent’s streamers as well as viewers around the world. That cash will create approximately 736,000 Asian jobs, says the report.

The world is watching

Streaming services “are increasingly enabling the dissemination of Asian content to wider audiences abroad,” says the study. “For example, the TV series Sacred Games from India and the film Okja out of South Korea were both watched online by viewers in over 190 countries, a reach unexpected with traditional distribution.”

A scene from Okja. Image credit: Netflix

“Asian audiences have a strong appetite for local content. Contrary to common belief, viewers in Asian countries spend equal time watching local and foreign content,” adds the report. That’s despite greater access to overseas content on the web.

While that preference varies quite a bit across markets, it’s more consistent across age groups:

Image credit: Alpha Beta

The true impact of that US$10.1 billion put into content will be three times larger than the sum spent, amounting to US$30.4 billion in economic benefits that ripple out toward supporting industries like catering, merchandise, and tourism.

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