Advanced Television

Forecast: FAST channel revenues at $12bn in 2027

January 25, 2023

By Colin Mann

Free ad-supported streaming TV (FAST) channel revenue grew almost 20 times between 2019 and 2022, and is set to triple between 2022 and 2027 to reach $12 billion (€11.9bn) according to research from analyst firm Omdia.

FAST channels are increasing rapidly with more than 1,500 channels already available in the US, according to Omdia.

“The number of channels and revenue growth will be significant in the next five years. Improving content discovery will be critical to the success of those channels,” Maria Rua Aguete, Media and Entertainment Senior Director told delegates at Content Americas 2023. “FAST channels offer numerous benefits to content owners such as the option to monetise old and unused library content and offer as a new content bundle.”

Much of this growth will be driven by the US, which currently accounts for approximately 90 per cent of the global FAST channel market valued at just under $4 billion in 2022. By 2027, the US FAST channel market will exceed $10 billion in revenue.

Over the coming years, FAST channels will grow the quickest outside of the US driving the US share of global revenue down to 86 per cent by 2027. Although the US will continue to dominate the market, a $1.6 billion revenue opportunity will emerge for FAST channels outside of the US by 2027.

Three of the five largest individual FAST markets in 2027 will be English-speaking nations – namely the US, UK, and Canada. Nevertheless, Canada, Germany, and Brazil, which will be in third, fourth and fifth place, respectively, will offer mainstream FAST opportunities for non-English content.

The UK and Canada, which enjoy a significant overspill of content from the US, will have FAST markets worth over $500 million and $300 million, respectively, by 2027.

“Omdia forecasts that FAST channels in Germany will generate just over $200 million in the same year, when those in Brazil will hit revenues of $100 million, representing around half of the total Latin American FAST market, which will be worth $207 million in 2027. FAST revenue in Mexico will be $93 million in 2027, making it the seventh-largest individual FAST market” concludes Rua Aguete.

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