Competition in the short-video space in the country continues to intensify with YouTube being the latest entrant in the segment with its 'Shorts' offering as the Google owned platform attempts to fill the void created after the ban of TikTok in India.

The media and entertainment sector, which was badly hit due to the disruptions caused by the COVID-19 pandemic, is expected to rebound to touch a revenue of Rs 1,86,600 crore in 2021-22, due to acceleration of digital adoption among users across geographies, according to a report. The sector should recover and post a 33 per cent growth in 2021-22, following a contraction of 20 per cent in 2020-21, which still implies a loss of around two years of growth, said KPMG in India Partner and Head (Media and Entertainment) Girish Menon.

Appealing to the government to allow theatres to reopen on an urgent basis, the Multiplex Association of India on Tuesday said the movie exhibition sector that provides employment to lakhs of people had lost an estimated Rs 9,000 crore in the last six months. Thecinema body, which represents all the multiplex chains, including, PVR, INOX and Cinepolis, said the sector directly employs more than two lakh people and provides employment to lakhs indirectly.

The COVID-19 outbreak has affected India's media and entertainment sector to varying degrees. While traditional outdoor entertainment formats have been affected, digital advertising, OTT and gaming have fared better. Digital advertising spends are likely to overtake TV advertising in FY21, according to a report by KPMG.