Pwc: Perspectives from the Africa Entertainment and Media Outlook 2025-2029

Africa’s entertainment and media sector shows strong digital-driven growth.

Oct 30, 2025

By PwC

The entertainment and media (E&M) sectors in South Africa, Nigeria and Kenya continue to outperform global benchmarks, displaying resilience in the face of ongoing macroeconomic challenges. In 2024, Nigeria led the region with a remarkable 11.2% growth rate, followed by Kenya at 7.1% and South Africa at 6.2%. Looking ahead, the compound annual growth rate (CAGR) through 2029 is projected to be 7.2% for Nigeria, 5.2% for Kenya and 3.5% for South Africa, indicating sustained momentum across all three markets.

Digital demand reshapes the market

A key driver of this growth is the rapid expansion of internet advertising, particularly in Nigeria and Kenya, where mobile-first internet usage is accelerating. Kenya stands out globally, with its internet advertising market projected to grow at a CAGR of 16% – the fastest globally. OTT services are growing at a CAGR of 6.7% in South Africa, 8% in Nigeria and 11.2% in Kenya, reflecting strong consumer demand for digital content.

AI, live entertainment and the return of experience

GenAI is emerging as a transformative force in the E&M industry, enhancing content creation, recommendation engines and customer engagement. Nigeria, with its youthful and tech-savvy population, is particularly well-positioned to harness GenAI’s potential. Live entertainment is also rebounding, with live music revenues surpassing pre-pandemic levels and esports gaining momentum across the region.

Mauritius: Tracking new emerging markets

Mauritius is referenced in this year’s introduction as a signal of the expanding scope of Africa’s E&M landscape. While not analysed in detail in this edition, its inclusion reflects growing interest in smaller, emerging markets that are beginning to show digital momentum. With digital media consumption rising and internet advertising driving revenue, Mauritius is projected to grow at a 2.2% CAGR through 2029, reaching a market value of $508m. Its trajectory offers a glimpse into how peripheral markets may evolve and contribute to the continent’s broader digital transformation.

Global shifts...local impact

The global economy is undergoing significant transformation, unlocking great value across all industries. The E&M sector remains a key player in this shift, positioned at the intersection of technological convergence and evolving consumer behaviour. This year’s analysis highlights several critical themes shaping the future of the industry.

Regulatory changes and tariffs are emerging as major obstacles to growth, creating substantial headwinds for expansion. At the same time, it remains a fundamental challenge to persuade consumers to allocate a larger portion of their discretionary income to E&M offerings, especially in an environment marked by economic uncertainty and inflationary pressures. Advertising has already become the dominant source of direct revenue in the E&M sector and is now the primary driver of global growth. The gap is expected to widen further, with global advertising growing at a CAGR of 6.1%, compared to just 2.0% for consumer spending. By 2029, global advertising revenue is projected to exceed consumer spending by more than $300 billion.

Generational differences in how people consume E&M products – particularly in gaming – are reshaping value chains and elevating new market leaders. AI is also poised to play a transformative role, especially in advertising, where it acts as a catalyst for creativity and efficiency. Despite these innovations, the annual rate of revenue growth is expected to decline throughout the forecast period, primarily due to constraints on consumer spending.

Gaming and esports are on track to overtake traditional television globally by 2029, driven by the rapid expansion of mobile platforms, broader internet access and the rise of immersive technologies like virtual and augmented reality. These shifts are fuelling deeper engagement and higher spend, particularly among a younger, digitally native audiences who favour interactive and personalised experiences over passive viewing. Nigeria emulates this global trend, but one year earlier, with gaming and esports taking the lead in 2028. Globally, OTT subscription revenue is also forecast to exceed traditional subscription revenue in 2027.

Beyond macroeconomic factors, another key reason for the slowdown in consumer spending is the increasing need for digital access. Connectivity –defined as revenue from fixed and mobile internet services – remains the largest segment of the E&M industry. Driven largely by mobile services, spending on connectivity is projected to exceed $1.3t by 2029, underscoring its foundational role in the digital economy.

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