Network-assessment

Streaming services market is already saturated in western countries like the United States and the United Kingdom, the rest of North America and Europe. The only way for services such as Spotify and Youtube Music to expand is by entering new markets, especially in areas of emerging nations. That could be China, if not due to the country’s internal censorship prevents streaming services from the west to enter the huge 1 billion+ Chinese market.

Besides, the Chinese regime was already successful in creating clones of western web services. China’s Google is Baidu, Apple’s counterpart is Huawei, Tencent is China’s Facebook, Alibaba being the Chinese-Amazon, Sina Weibo is the Chinese version of Twitter and Youku being China’s counterpart for Youtube. So what is the alternative option for companies from the west in order to broaden their customer base, even without taking a foothold on China?

The answer is India, in fact, the two largest streaming services, Spotify, and Youtube Music have recently penetrated the country of 1 billion+ people outside of China. The latter has a bigger possibility of profit, given that there are at least 245 million regular Youtube users in India per month. Youtube music provides music fans with an overwhelming number of albums, singles and even remixes in a personalized package. Youtube Music is free with adverts, but customers can pay INR 99 per month for an ad-free subscription. Google’s cheaper offer is set to take some market share from its strongest competitor, Spotify India, which is asking for INR 119/month for an ad-free subscription.

With a still growing population, India is set to overtake China as the most populous country in the world by the end of the next decade. India’s music streaming market is projected to reach 7% of the nation’s population by 2023.

“We feel this is the right time to bring Originals to India. It will boost the overall online video ad spends and drive more advertisers to connect with consumers through these shows. For instance, 60% of our watch time comes from outside of the six largest metro areas. YouTube funds and commissions these shows based on insights from user data, but the IP remains with the creator. With our growing reach and highly engaged audience, brands have an incredible opportunity to engage with the audience. Our goal is to further boost the ecosystem and supercharge the growth,” explained Satya Rahavan, Head of Youtube Entertainment India.

With Youtube Music India, Google is set to produce shows by partnering with independent Youtube content creators themselves. Also known as Youtube Originals, it is set to highlight the talents of Indian independent content creators through the Youtube platform. Through Youtube Originals, these independent content creators can earn money through the Youtube platform outside of their respective Youtube channels with the production strength of Google backing-up the content.

“YouTube funds and commissions these shows based on insights from user data, but the IP remains with the creator. With our growing reach and highly engaged audience, brands have an incredible opportunity to engage with the audience. Our goal is to further boost the ecosystem and supercharge the growth,” concluded Rahavan.

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