The Media & Entertainment (M&E) industry’s digital transformation has moved on at a staggering pace in recent years, but the question on everyone’s lips is what is next for this rapidly burgeoning market?
A new study by Cognizant’s Centre for the Future of Work found the M&E industry is set to become matured in terms of digital transformation during the next five years, with mobility earmarked as the technology trend with the broadest impact over the next two years.
Almost 80% of the survey’s respondents agreed with this forecast, with 92% citing the increasing use of wearables as a key factor, particularly in gaming.
Other technologies set to play increasingly vital roles in the near future include artificial intelligence (AI), virtual reality (VR) and augmented reality (AR). Blockchain too may have many future M&E uses, the report predicted, from facilitating royalties through to crowd-funding, and via its application in digital advertising and distribution.
The report advised that to leverage these major developments, businesses must adopt a fail-fast attitude as quickly as possible, and be willing to experiment broadly. The research also suggested technology spending will soar by 50% over the next five years.
Robert H. Brown, AVP, Centre for the Future of Work, Cognizant, said: “Our advice to any M&E company struggling today, is to focus on how to achieve the best return on their digital investments in order to overcome the lacklustre growth and profitability challenges of recent years.”
He added: “To compete, they need to invest now in technologies such as artificial intelligence and blockchain. Our research also uncovered that the work ahead for M&E companies wanting to expand their digital efforts, includes getting serious about data security – and accepting the fact that creative destruction is unavoidable in Keeping Up with the Netflixes.”