The Anchor: 5 Challenges for film & entertainment industry in the digital space

23 Feb,2012

1. Lack of Infrastructure:

One of the major challenges in digital space is lack of infrastructure and poor internet connectivity. The problem of bandwidth has been there for some time now. We need better streaming solutions and internet penetration inIndia. With 3G, and now 4G, coming on the scene, though the initial rollout has been slow, all plans are geared for boosting rollout and hence consumption of entertainment on digital platforms is expected to get a boost.


2. Fragmentation in the Industry:

We have a fragmented industry in terms of sheer number of platforms and business models. In present scenario, there is no clear leader except a handful of them who are making profit. But with more investors in the space, we are seeing both, better quality platforms and more sustainable rollouts, which are further fuelling the consumers’ digital consumption habit.


3. Menace of Piracy:

Piracy is another menace that the industry has been fighting against. Some of the players in digital space, like YouTube for example, have been taking some strong measures to ensure that the legitimate owner of the content gets fair share of the revenue. Additionally, content owners are increasingly partnering with platforms and finding win-win partnership models and working together to build the consumers’ habit of legal content consumption.


4. Technological Challenge:

Content owner face a lot of challenges to digitize and re-purpose the content. Technologies are getting redundant at a faster pace. It is a challenge for the content owners to cope up with the fast-growing technology and avail their content in compatible format for a particular platform. However, players are emerging with the scale to be able to handle this fragmented consumption and build better and more sustainable revenue streams, and bring all the efficiencies of scale. This also gives opportunities to bring in innovation in the presentation of the product.


5. Need for better equipments

Another hindrance is slow adoption of newer and better equipment/ end user device to access video content. But, the variety of gadgets available in the market at reasonable price points and loaded features are expected to address the problem.


Jai Maroo is Director, Shemaroo Entertainment


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One response to “The Anchor: 5 Challenges for film & entertainment industry in the digital space”

  1. This is just a beginning… there is a lot to be done. And these are just a few pointers.

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