KSA Streaming Media Market Outlook to 2030

KSA Streaming Media Market Overview

• The Saudi Arabia streaming media market is valued at USD 2 billion, based on a five-year historical analysis. This growth is driven by widespread internet penetration, increased adoption of smart devices, and growing consumer preference for on-demand entertainment. Government initiatives under Vision 2030, aimed at enhancing digital infrastructure and promoting local content production, have also accelerated the growth of the streaming sector in the country.
• The market is predominantly dominated by major cities such as Riyadh, Jeddah, and Dammam due to their advanced digital ecosystems, high-income populations, and urbanized infrastructure. Riyadh, being the political and economic hub, serves as a significant market due to its tech-savvy audience and demand for localized Arabic content.
• The rollout of advanced ad-technology tools has significantly transformed the advertising landscape, enabling more effective targeted marketing campaigns and generating an estimated $5 billion in incremental revenue globally in 2024.

KSA Streaming Media Market Segmentation

By Service Type: The Saudi Arabia streaming media market is segmented by service type into Video-on-Demand (VoD), Live Streaming, and Audio Streaming. Video-on-Demand (VoD) holds a dominant market share due to the increasing popularity of binge-watching and original Arabic content produced by major platforms. The convenience of personalized viewing experiences further strengthens its market position.

By Revenue Model: The market is segmented by revenue model into Subscription-Based (SVoD), Advertisement-Based (AVoD), Transactional (TVoD), and Hybrid Models. Subscription-Based (SVoD) leads the market as consumers prefer ad-free experiences and access to exclusive content. Major platforms like Shahid and Netflix have captured significant audiences through competitive pricing and a wide content library.

KSA Streaming Media Market Competitive Landscape

The Saudi Arabia streaming media market is dominated by a mix of local and global players. Key companies include Shahid (MBC Group), Netflix, and Amazon Prime Video. The consolidation in this sector highlights the influence of these players through content localization, strategic partnerships, and advanced technological integration.

KSA Streaming Media Market Analysis

Growth Drivers

• High-Speed Internet Penetration High-speed internet subscriptions reached approximately 8 billion connections globally in 2024, driven by increased infrastructure investment by governments in underdeveloped regions. This has created a robust digital ecosystem enabling seamless access to digital services and content, significantly boosting the growth of digital markets.
• Smartphone Adoption Rates In 2024, smartphone shipments surpassed 1.8 billion units, supported by declining device prices and greater consumer affordability. Markets like India and Southeast Asia reported smartphone ownership exceeding 1.4 billion users, facilitating broader digital adoption and engagement.
• Government Initiatives for Digital Transformation Governments worldwide allocated over $150 billion in 2024 toward digital economy initiatives, such as broadband expansion programs and subsidizing technological tools for businesses. The Indian governments Digital India program connected over 500 million rural citizens to digital platforms, catalyzing market growth.

Market Challenges

• Content Piracy Issues Piracy led to a loss of $42 billion globally in 2024, with Asia-Pacific experiencing the highest unauthorized content access due to weak enforcement of intellectual property laws. The problem limits revenue potential and hampers investment in premium content.
• Regulatory Constraints Stringent data protection laws in regions such as the EU and China have increased compliance costs for companies. In 2024, over 80 new digital regulations were implemented globally, impacting service delivery timelines and raising operating challenges.

KSA Streaming Media Market Future Outlook

Over the next five years, the Saudi Arabia streaming media market is expected to experience substantial growth driven by increased internet accessibility, government support for digital transformation, and growing consumer demand for personalized entertainment solutions. The surge in local content production, coupled with advancements in artificial intelligence for enhanced viewer experiences, will further bolster the markets trajectory.

Market Opportunities

• Expansion into Rural Areas Over 2.5 billion people in rural regions globally remain underserved by digital services. Enhanced mobile internet infrastructure in these areas is expected to unlock significant user bases. In 2024, rural internet connections saw a 25% increase, indicating untapped market potential.
• Partnerships with Telecom Operators Telecom providers now bundle streaming services and e-learning platforms as part of internet subscriptions. In 2024, such partnerships accounted for over 25 million new subscriptions in India alone, driving growth through mutually beneficial collaborations.