How OTT and Generative AI Are Driving Growth in India’s Entertainment Sector

India’s digital revolution is reshaping the entertainment and media (E&M) industry. With the rapid rise in internet advertising, over-the-top (OTT) content consumption, and the influence of gaming and artificial intelligence (AI), the landscape has changed dramatically. This growth brings immense opportunities but also presents challenges for businesses and IT professionals. How can companies balance innovation with risk management to make the most of this booming sector? Let’s explore.

Internet Advertising: The Leader in the Digital Shift

The digital advertising industry in India is growing at an impressive rate of 15.6% CAGR and is expected to exceed ₹41,000 crore by 2028. This surge is driven by India's mobile-first audience and affordable internet, with over 82% of people consuming media on their smartphones. Social media, search engine marketing, and programmatic ads dominate this space, allowing advertisers to connect directly with their target audience.

Opportunities and Challenges

For businesses, digital advertising offers unmatched precision in reaching customers. However, such rapid growth introduces risks such as data privacy concerns, ad fraud, and the misuse of user information. Companies must strike a balance between engaging customers and safeguarding their reputation.

Risk Management Insight: Businesses can protect their digital campaigns by investing in advanced ad fraud detection systems and data encryption technologies. TRPGLOBAL supports companies by conducting in-depth audits of their advertising strategies, ensuring compliance with data protection laws and protecting against misuse.

OTT Platforms: A New Standard for Entertainment

The shift from traditional media to digital content consumption has given rise to a thriving OTT ecosystem in India. Platforms such as Netflix, Amazon Prime Video, and Disney+ Hotstar are increasingly catering to regional audiences while introducing innovative content formats.

How OTT is Changing Media Consumption

• Regional Content: Localized stories now form over 50% of OTT viewership, appealing to audiences across diverse linguistic and cultural backgrounds.

• Data-Driven Personalization: Platforms analyse user behaviour to curate unique recommendations, making content consumption highly personal.

1. ‍Potential Risks : OTT platforms collect vast amounts of user data to enhance personalization. However, this reliance on data creates vulnerabilities, such as breaches, unauthorized access, and user privacy violations.
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2. ‍Risk Management Insight: By conducting regular IT audits and deploying cyber-risk management frameworks, OTT platforms can secure user data and strengthen their operations. TRPGLOBAL’s tailored IT solutions help businesses protect their platforms from threats while scaling responsibly.

The Growing Role of Generative AI in E&M

Generative AI is shaping content creation and delivery across the E&M sector. From automating ad campaigns to personalizing gaming and OTT content, AI is unlocking new possibilities for businesses. However, as AI becomes more central, so do its risks.

AI Challenges for Businesses

• Algorithm Bias: Poorly trained AI systems may unintentionally exclude certain demographics, affecting advertising effectiveness and equity.

• Cybersecurity Concerns: AI systems can become targets for hacking, leading to breaches of confidential data or intellectual property.

Risk Management Insight

‍Establishing AI governance and collaborating with experts like TRPGLOBAL can help companies build secure AI models that meet ethical standards while ensuring business continuity.

Online Gaming and Esports: A Billion-Dollar Playground

Gaming isn’t child’s play anymore—it’s a $1.6 billion industry in India and growing. Esports and online gaming platforms are transforming how Gen Z and Millennials interact with digital ecosystems.

1. The Growth Catalyst: Generative AI
   
   From designing dynamic gameplay to creating immersive storylines, AI is the secret sauce of gaming. But with innovation comes risk:

• Server vulnerabilities in gaming networks.

• In-game monetization risks, including fraud in microtransactions.

Risk Management Tip

By integrating real-time risk monitoring tools, gaming companies can safeguard their platforms from vulnerabilities while ensuring seamless player experiences.

Why Risk Management is Key in the E&M Sector

While digital opportunities are boundless, they also come with inherent challenges. Companies must prioritize risk management to protect their operations, customer trust, and data integrity. Effective risk management in the E&M sector revolves around addressing three key areas:

1. Data Privacy: As data becomes the backbone of personalized services, organizations must invest in tools that prevent unauthorized access and comply with local data protection laws.

2. Regulatory Compliance: With regulations such as the Digital Personal Data Protection Act gaining traction in India, businesses must ensure transparency in how data is handled.

3. Cybersecurity: Organizations need to pre-emptively address vulnerabilities in their digital infrastructure, especially in areas like cloud storage, payment systems, and data analytics.

Our team of IT professionals offers end-to-end risk management services, helping businesses navigate digital risks without compromising innovation.

A Balanced Approach to Digital Growth

India’s E&M industry is undergoing unprecedented growth, but innovation without caution can backfire. Companies must adopt a balanced approach—leveraging opportunities while mitigating risks. With digital platforms like OTT and gaming leading the charge, businesses that prioritize security and compliance will stand out.
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At TRPGLOBAL, we believe that growth and security go hand in hand. Let us help you build a future-ready digital ecosystem. Contact us today for tailored solutions that protect your business while enabling success in India’s evolving media landscape.