PwC foresees a 30% compound annual growth rate for virtual reality in the entertainment and media segment between 2020 and 2025 according to the PwC report Power shifts: Altering the dynamics of the E&M industry. This is followed by a 29% growth rate in cinema and 27% growth rate in data consumption.
PwC predicts the virtual reality sector will grow from $1.8 billion in 2019 to $6.9 billion in 2025.
Lowest growth rates are foreseen for traditional TV and home video and newspapers and consumer magazines which will decline by 1% per year out to 2025.
In general the report foresees growth in the entertainment and media sector.
“Over the coming five years, growth in E&M revenues will be the norm across all 53 territories we cover,” note the reports authors. “No country’s combined consumer and advertising revenue will rise at less than a 3.0% five-year CAGR to 2025, with Japan the lowest at 3.1%.”
Global advertising will have grown at a compound annual growth rate of 6.5% between 2020 and 2025.
PwC Foresees $624 billion in entertainment and media revenues for the US in 2025, $274 billion for China, approximately $125 billion for Japan and $85 billion for Germany and the United Kingdom.