India's Animation sector is witnessing a major boom. A new outsourcing fever has gripped India. Global entertainment majors like Walt Disney, Imax, Warner Brothers and Sony are signing up huge contracts with Indian animation companies.
Performance of the Industry in 2007The entertainment segment of the Indian animation Industry in 2007 stands at an estimated Rs. 13 billion. The industry grew by 24% from the previous year 2006 when the recorded revenues were Rs. 10.5 billion.
The Gaming industry, on the other hand, grew at a higher rate of 32% over the previous year and stands at an estimated Rs. 2.7 billion in 2007, up from Rs. 2.05 billion in 2006.
The global animation Industry is offering a major chunk of business in animation in India to cut cost and increase their profits. Pioneered by the Indian advertising Industry, animation in India has been adding creativity to ad-commercials and special effects to bollywood films. The Indian animation market is growing and serves the content for both domestic and International clients.
Work is pouring in from places like the United States, Europe and Asia in the form of outsourced projects and co-production deals. Companies are outsourcing animation to India for Animated TV. Serials, Films, Visual effects, commercials, computer games and e- Content development.
I have discovered the creative side in me after coming to AAG. I am exposed to various fields in animation career. I also enjoy the benefit of being taught in fun filled manner.Punam Singh (B.sc. Animation)
Bollywood movies have begun to realize the potential of the animation segment and have high hopes for higher rates of return for their investments on the animation films. Moreover, the growth of gaming industry will also come through animation. Within animation, the entertainment segment will continue to remain the major contributor, accounting for nearly three-fourth of the total market through the forecast period.
Outlook for the 5-years period 2008-2012The gaming Industry is projected to dominate the Industry over the next five years. The Indian gaming Industry is projected to grow from an estimated size of Rs. 2.07 billion in 2007 to an estimated Rs. 14 billion by 2012, translating to a cumulative growth of 39% over the next five years.
Mobile gaming will dominate the segment with over 71% share, driven by the growth in the high end segment of mobile users, the need for valuable content by mobile operators and the availability of 3G spectrum that enables easy of play. Online gaming will be the next highest growth segment, fuelled by the growth of internet users and especially of the target segment of 15-34 years. Console gaming is expected to grow by 18% over the next 5 years driven by falling cost of console prices and availability of local games.
The animation industry will continue to maintain its growth pace and is projected to increase to Rs. 40 billion in 2012 from its current size of Rs. 13 billion. Domestic demand will create the fillip in its growth as well as contribution from international co-productions, especially in the television segment.
