PricewaterhouseCoopers has released the Australian Entertainment and Media Outlook for 2010-2015
Almost one-third of Australians will have switched to an IPTV subscription service by 2016, according to PwC
After being stuck at around 30% since 2008, pay-TV penetration of Australian households is forecast to reach 35% by 2017- but most of that growth will come from IPTV services, not Foxtel.
The proliferation of streamed subscription-based film and TV rental services will make life tougher for free-to-air broadcasters, according to PwC's Australian Entertainment and Media Outlook 2013-2017.
The overall Australian entertainment and media market is projected to grow steadily over the next five years, driven primarily by the online and subscription TV sectors.
Screen Australia CEO Ruth Harley has made the case for Australia to move eventually to a new, flexible film distribution model, similar to the US and the UK.
Box-office revenues are likely to surpass physical home entertainment sales next year but the overall Australian filmed entertainment market can expect minimal growth in the next five years.
Despite the fragmentation of audiences and blossoming of online services, commercial free-to-air broadcasters are likely to see a modest increase in advertising revenues.