By Kenneth Li

Media revenue to hit $2.2 trillion by 2012: PwC

Wed Jun 18, 2008 6:19am EDT

NEW YORK (Reuters) - Global entertainment and media revenue is forecast rising by an average of 6.6 percent a year to $2.2 trillion by 2012, boosted by advertising-supported digital and mobile media and an explosion in the adoption of broadband.

According to the PricewaterhouseCoopers (PwC) annual forecast released on Wednesday, advertising tied to the burgeoning interest in watching videos on the Internet and on devices, such as Apple Inc's iPod, will account for 24 percent of growth in the sector and is projected to grow fastest at a compound annual growth rate of 19.5 percent to 2012.

Total entertainment and media revenue growth is seen outpacing global gross domestic product, which will increase 5.7 percent, according to the report.

Despite the acceleration of digital businesses, revenue from traditional media venues such as television will still dominate global market share, if not growth. Digital and mobile revenue will account for only 11 percent of total spending, or $234 billion, in the next five years...