Market Size of Mexico OTT TV and Video Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Mexico OTT TV & Video Market Analysis
The Mexican OTT TV and video market is expected to grow at a CAGR of 4.5% over the forecast period. Mexico has been witnessing a rapid development of convergence services of the internet and mobile devices, owing to the development of IT and media technologies and the spike in M&A activity over the past decade. The growth of the internet ecosystem consisting of cheap, powerful devices, communities of web entrepreneurs, and faster internet connections are factors that aid the increasing adoption of the OTT market in the country.
- The shifting consumer preference toward online content due to the increasing proliferation of high-speed internet in Mexico provides an impetus for market growth. Substantial investment flows by video streaming media companies, like Netflix, Amazon Prime, and Hotstar, led to an increase in the number of Pay-Tv subscribers.
- Mexico has become a prime focus for many subscription OTT services because of its improving digital infrastructure and the growing need for indoor entertainment during the coronavirus pandemic. Netflix is one of the most used platforms in the region. Its international competitors, Amazon Prime Video, Disney+, HBO Max, and Apple TV+, as well as local streaming services owned by major TV networks or telecom companies, Claro Video, Blim TV, and Globoplay, have an increasing demand in the region.
- The proliferation of streaming services and the fracturing of content libraries will ultimately force consumers to decide which platforms they value the most, which will create a unique opportunity for cheaper and free ad-supported platforms to gain market share among price-conscious consumers.
- The COVID-19 pandemic increased the time spent on video streaming apps, leading to a rise in growth opportunities for the region's OTT market. For instance, according to WarnerMedia, on average, Mexicans spent 244 minutes watching pay-TV between March 23 and 29, 2020, which is 28 minutes more than the average of 216 minutes between January 1 and March 15, 2020.
- Along with the impact on production, the pandemic took a toll on the consumer demand for display-integrated devices, likely exacerbated by the lockdown. Uncertainty regarding the possible length of the lockdown made it difficult to anticipate how and when a resurgence in the display industry would occur.
