According to recent analysis by market intelligence firm Omdia, global revenues from online video and traditional TV markets are poised to hit the $1 trillion mark annually by 2030. This ambitious forecast reflects a significant shift where the growth engine is online video, even as traditional pay TV continues its gradual decline.
Online Video Leading The Charge
The global video streaming segment is expected to generate approximately $214.6 billion in 2025, growing at an annual rate of 12.8%. Online video subscriptions alone will command 77% of this revenue share, underscoring the platform’s increasing dominance in a market that previously relied heavily on traditional TV services.
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Advertising: A Key Growth Catalyst
Premium advertising revenue—whether delivered through hybrid SVOD/AVOD models, native AVOD, FAST, or streaming services by traditional broadcasters—is anticipated to rise by 15.6% from 2024, reaching $42.1 billion worldwide. This growth is driven by a gradual consumer migration toward advertising-supported models, reinforcing the investment case for integrating ad revenues into subscription frameworks.
Industry Insights And Strategic Implications
Adam Thomas, Practice Leader at Omdia, emphasizes that while global pay TV revenues remain substantial, they are not growing as briskly as their digital counterparts. Thomas observes, “Traditional pay TV is in slow decline, but its long-term revenue contribution remains significant.” This nuanced view is further supported by Tony Gunnarsson, Principal Analyst at Omdia, who notes that streaming, primarily driven by subscriptions, is approaching mass-market penetration. However, he anticipates a deceleration in annual growth rates for premium streaming as the market matures.
A Hybrid Future And New Revenue Streams
Gunnarsson points out that the integration of advertising tiers into streaming services—often seen as an early-stage experiment—has yielded significant returns. The latest research indicates that by 2030, advertising will account for an increasing portion of the revenue mix; for instance, advertising on the combined “big five” US SVOD platforms (including Netflix, Amazon, Disney, HBO Max, and Paramount) is projected to contribute $24.3 billion, raising its share from 13% in 2025 to 20%.
As digital transformation continues to reshape media consumption, these insights offer strategic value to investors and stakeholders. The synthesis of subscription and advertising revenues points to a resilient business model that is well-positioned to thrive in an evolving market landscape.
