Omdia: Streaming Video Revenues in MENA to Hit $1.2 Billion

Omdia is forecasting that the video streaming market in the Middle East and North Africa (MENA) region will see revenues of $1.2 billion in 2024.

The OTT video streaming market in MENA saw a 13 percent increase across the region and revenues exceeding $1 billion, according to Omdia. Shahid and StarzPlay dominate with “significant market shares and innovative strategies.” The firm goes on to say that strategic partnerships and bundle offerings have been key to this success, enhancing accessibility and content diversity.

Year-round content production has mitigated seasonal subscription fluctuations in the MENA region, leading to higher subscription rates and reduced churn after Ramadan. Despite this, Ramadan remains a peak period for drama, with platforms like ADTV and Watch IT gaining significant popularity to meet regional demand.

Omdia’s research shows that Shahid, part of MBC, leads the MENA streaming video market with a 22 percent market share, amounting to 3.6 million subscribers by the end of 2023. Shahid’s strength lies in its extensive local Arabic content, which resonates deeply with regional audiences, especially during Ramadan.

StarzPlay follows with an 18 percent market share and 3 million subscribers. Identifying and filling content gaps in the region has allowed StarzPlay to strengthen its competitive edge through its AVOD launch, exclusive content and sports.

Speaking at CABSAT 2024, Dubai, Maria Rua Aguete, senior research director at Omdia, said: “MENA is a growth area with huge potential. The top three players—Shahid, StarzPlay and Netflix—each have unique strategies and complementary offerings. In the advertising space, FAST is currently limited in this region, but we anticipate significant growth over the next four years, with global players like Samsung entering the market.”

Online video advertising presents the most significant growth opportunity, while MENA’s pay-TV expansion demonstrates how bundling can combat piracy. FAST channel revenues in MENA reached $7.2 million in 2023 and are poised for “rapid growth.”