Artificial intelligence in advertising and increasing digital content is expected to help the global media and entertainment business grow to a whopping $3.5 trillion by 2029.

PwC's annual global entertainment and media outlook (2025–29) revelations point out that the global media and entertainment industry will generate revenue of more than 3.5 trillion dollars by 2029. The market reached almost 3 trillion dollars in 2024, and advertising turned into one of the most important development drivers.

Advertising will be the fastest-growing category, with a 6.1 percent compound annual growth rate that does not seem to slow down under the influence of AI-based models and digital innovation. AI is gaining popularity with media and entertainment companies as an approach to personalization in the creation of content, enhancing engagement, and optimizing production activities.

Advertising in the retail, video games, and connected TV sectors are expected to achieve a higher growth rate of about 10%. Currently, digital formats account for 72 percent of ad revenue, with a projected increase to 80 percent by 2029.

Nevertheless, the consumers prefer using non-digital formats despite the digital storm. In 2024, the live music, cinema, and events contributed to 61 percent of consumer spending.

The U.S., India, and Indonesia are the largest and fastest-growing media and entertainment markets, respectively, propelled by the increase in internet penetration and mobile-first interactions.

With the increase in the level of competition in the world and the slowing of the pace of consumer spending, innovation and hyper-personalization with advertising-based ecosystems will be the future of the media and entertainment.