Digital Media Production Software Market Expected to Reach $36.3 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Digital Media Production Software Market," The digital media production software market was valued at $11.4 billion in 2021, and is estimated to reach $36.3 billion by 2031, growing at a CAGR of 12.6% from 2022 to 2031.

Digital media production is the process of creating, encoding, and distributing digital files such as video, music, pictures, and video games using computer hardware and software. The digital media production software offers graphic design, web design, animation, and other applications. This increases the demand for digital media production software. The global digital media production software market is expected to register significant growth in the near future, driven by increasing demand for online video games, increasing ICT spending, and increasing demand for game design and website designing.

Increasing use of social media marketing and increasing demand for website design has a positive impact on digital media production software industry. Additionally, increasing use of artificial intelligence and machine learning in digital media production software is driving market growth across the globe. However, factors such as increasing cyber security threats and high implementation costs are restraining the market growth. On the contrary, increasing penetration of digital marketing is expected to provide valuable opportunities for market growth during the forecast period. Moreover, increased demand in the entertainment industry as consumers turn towards online movies and entertainment amid the coronavirus pandemic. Hence, shifting towards digital consumption for entertainment during the pandemic, such as online games, online movies, and online entertainment applications provides the major growth factors for the digital media production software market. Furthermore, rise in demand for online video games. Growth in ICT expenditure also boosted the growth of the digital media production software industry.

By type, the digital content creation segment dominated growth of the digital media production software market in 2021, and is expected to maintain its dominance in the upcoming years, owing to rapid expansion of internet infrastructure and rise in number of digital media platforms such as TikTok and Instagram. However, the interactive TV segment is expected to witness highest growth the forecast period, owing to high need of interactive interface between TV and social media applications.

North America dominates the digital media production software industry. Growth of the market in this region is attributed to several factors such as increase in digitalization and adoption of digital media by the end users. Moreover, presence of key players is providing ample growth opportunities for the market growth. However, Asia-Pacific is expected to witness highest growth rate during the forecast period, owing to rapid expansion of internet infrastructure across the region.

The digital media production software market forecast has witnessed significant growth in past few years; however, owing to the outbreak of the COVID-19 pandemic, the digital media production software market witnessed a sudden increase in demand. According to a survey published by J. Clement in April 2022, more than 92% of respondents admitted feeling that the global COVID-19 pandemic accelerated development of metaverse and related technologies.

Moreover, increase in work from home culture and social distancing norms that were initiated in the COVID-19 lockdowns helped in promoting demand for digital media production platforms during the period, which further managed to continue even after the number of COVID-19 cases declined in late 2021. This provoked many companies to capitalize on this opportunity to expand their products and services. For instance, in November 2020, Sony Music Entertainment and Lil Nas X performed in a two-day virtual concert on the Roblox platform. This concert attracted more than 30 million users to the platform. Therefore, the COVID-19 pandemic had a positive impact on the digital media production software market size.

Key Findings of The Study

• By type, the digital content creation segment accounted for the largest digital media production software market share in 2021.
• By region, North America generated the highest revenue in 2021.
• By application, digital advertising segment accounted for the largest digital media production software market share in 2021.

The key players profiled in the digital media production software market analysis are Brightcove Inc., Apple Inc., Adobe, Acquia, Inc., Bynder, CSG, DNN Corp, HubSpot, Inc., IBM Corporation and Oracle.  These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.