Pw C Romaniasmediaandentertainmentsectortoreach EU R 4.9blnby 2029withdigitalsegmentsleadinggrowth

Published in Media and Entertainment on Saturday, August 16th 2025 at 10:51 GMT by Romania Insider
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The media and entertainment industry in Romania is projected to experience steady growth over the next five years, driven primarily by the expansion of digital segments. According to the latest PwC Global Telecommunications,

Romania's Media and Entertainment Sector Poised for Robust Growth, PwC Report Forecasts

In a comprehensive analysis of Romania's evolving media and entertainment landscape, a recent PwC report highlights significant growth prospects for the industry, projecting its total value to climb to EUR 5.3 billion by 2029. This forecast represents a compound annual growth rate (CAGR) of 7.2% from 2024, underscoring the sector's resilience and adaptation to digital trends amid economic challenges. The report, which delves into various subsectors, paints a picture of a market increasingly driven by digital consumption, streaming services, and innovative advertising models, while traditional segments like print media continue to face headwinds.

At the heart of this expansion is the over-the-top (OTT) video segment, which is expected to emerge as the fastest-growing area within the industry. PwC anticipates that OTT revenues in Romania will surge at a CAGR of 12.5%, reaching EUR 332 million by 2029. This growth is fueled by the rising popularity of subscription-based and ad-supported streaming platforms, as consumers increasingly opt for on-demand content over traditional television. The report notes that platforms like Netflix, Disney+, and local services are capitalizing on improved broadband infrastructure and a growing appetite for diverse, high-quality programming. Factors such as the proliferation of smart devices and affordable data plans are accelerating this shift, making OTT a cornerstone of the media ecosystem.

Another key driver is the internet advertising market, projected to grow at a CAGR of 10.2% to hit EUR 1.1 billion by 2029. This segment is benefiting from the digital migration of consumer attention, with social media, search engines, and programmatic advertising leading the charge. PwC emphasizes how data-driven targeting and personalized ads are enhancing ROI for advertisers, even as privacy regulations like GDPR introduce complexities. The report contrasts this with traditional TV advertising, which, while still substantial, is expected to see slower growth at 3.5% CAGR, reflecting a broader pivot away from linear broadcasting.

The video games and esports sector also stands out as a high-potential area, with revenues forecasted to reach EUR 414 million by 2029, growing at a 9.8% CAGR. Romania's young, tech-savvy population is a major factor here, with mobile gaming and competitive esports events drawing significant engagement. The report highlights the role of local developers and international investments in fostering this ecosystem, positioning Romania as an emerging hub in Eastern Europe for game development and tournaments.

Cinema and out-of-home (OOH) entertainment are slated for recovery and steady progress. Cinema revenues are predicted to grow at 6.8% CAGR to EUR 128 million, buoyed by blockbuster releases and enhanced theater experiences like IMAX and premium seating. However, the sector is still rebounding from pandemic-era disruptions, with streaming alternatives posing ongoing competition. OOH advertising, encompassing billboards and digital displays, is expected to expand at 5.4% CAGR, driven by urbanization and smart city initiatives that integrate interactive elements.

Traditional media formats, however, are not faring as well. The report forecasts a decline in newspaper and magazine revenues, with a negative CAGR of -2.1%, as digital alternatives erode print circulation. Radio, while more stable, is projected to grow modestly at 2.3% CAGR, supported by podcasting and digital audio integrations. Pay TV subscriptions are also under pressure, with a forecasted CAGR of 1.8%, as cord-cutting trends favor OTT options.

PwC's analysis extends to broader economic and technological influences shaping the sector. The report underscores the impact of Romania's improving digital infrastructure, including 5G rollout and fiber-optic expansions, which are enabling higher-quality content delivery and immersive experiences like virtual reality. Consumer behavior shifts, particularly among millennials and Gen Z, are pivotal, with a preference for mobile-first, personalized media consumption driving innovation. Economic factors, such as inflation and disposable income levels, are noted as potential variables, but the overall outlook remains optimistic due to the sector's adaptability.

The report also addresses challenges, including content piracy, regulatory hurdles, and the need for talent development. PwC recommends that industry players invest in local content production to retain audiences and comply with EU directives on audiovisual media services. Collaborations between telecom operators and content providers are seen as essential for bundling services and expanding reach.

In terms of regional comparisons, Romania's media market is growing faster than the global average of 4.6% CAGR, positioning it as a dynamic player in Central and Eastern Europe. The report draws parallels with neighboring markets like Poland and Hungary, where similar digital transformations are underway, but highlights Romania's unique advantages in IT talent and cost-effective production.

Looking ahead, PwC envisions a converged media landscape where artificial intelligence and machine learning play larger roles in content recommendation and ad optimization. Sustainability is another emerging theme, with calls for eco-friendly practices in data centers and production processes to align with global ESG standards.

Overall, the PwC report serves as a roadmap for stakeholders in Romania's media and entertainment industry, emphasizing the need for agility in a digital-first world. By leveraging technological advancements and understanding consumer preferences, the sector could not only achieve the projected EUR 5.3 billion valuation but potentially exceed it, contributing significantly to the national economy. This growth trajectory reflects a broader narrative of digital empowerment in Romania, transforming how entertainment is created, distributed, and consumed. (Word count: 812)

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[ https://www.romania-insider.com/pwc-romania-media-entertainment-value-report-2029 ]