Media Sector in Saudi ArabiaFueled by Vision 2030, the Saudi media sector presents a dynamic landscape of opportunities.

The media industry is growing

Worth SAR 17.4 billion ($4.6 billion), Saudi Arabia is in the lead in the MENA region, with a 30% market share in the media industry. The Kingdom plans to invest USD 64 billion over the next few years to promote and diversify the scope of this industry, according to the General Entertainment Authority (GEA). GEA, which was created in May 2016 as one of the primary initiatives of Vision 2030, aims to organize and develop the entertainment sector, to support the infrastructure required for the industry to thrive.

To tap into the potential of this large market and to drive significant economic growth from the media, entertainment, and events industries, the government is focused on attracting international investment in these sectors. To encourage this, the Ministry of Culture and Information (MoCI) and GEA are working toward building local media expertise in Saudi Arabia while helping locally established entertainment businesses spread their reach and influence in the international markets.

While some traditional media channels are still finding their footing, the digital sectors are growing rapidly. Several factors contribute to this upward curve.

A young audience

Saudi Arabia has the largest, most literate, and tech-savvy young adult cohort. In fact, more than half of the population is under 30 years old, and they’re eager for new digital experiences — from online gaming to streaming music and videos.

A growing digital presence

On average, Saudis spend six hours a day on digital media and around three hours a day on social media. As almost everyone owns a smartphone, we’re likely to see even more growth in the digital sector in the future.

Increases in spending

Gaming is another driver of exponential growth in the media market. Every month, Saudis are spending around SAR 1.2 thousand for games, which has expanded the market to over SAR 2.6 billion in just five years.

The potential of local content

Arabic-language media content is the preferred choice of every third Saudi national, which gives us a glimpse into a large, underserved, media-hungry population. Driven by these insights, large corporations such as Netflix have already started leveraging this potential by localizing their content, as well as dubbing or subtitling shows for their Saudi Arabian market.

The Augustus media success story

AstroLabs was fortunate to partner with Augustus, a digital media holding company, to help them with setting up their base and operations in Saudi Arabia and launching Lovin Saudi in September 2017. Lovin Saudi is a media platform that captures the global and local trends in lifestyle, news, latest developments in business and technology, and translates them into captivating, engaging, and more importantly, entertaining content for digital media consumers in the Kingdom.

Their content has been seen and loved by millions on visual, audio, and text platforms. In February 2019, Augustus added yet another feather to its media cap in the form of SMASHI TV, which is a business news network covering the most innovative products, services, and technologies. In their own words, “SMASHI is a mindset, it’s for the driven, the dreamers, and the doers.”

Listen to the story of Augustus Media founder Richard Fitzgerald

Future of the Saudi Media Sector

To boost innovation in media and entertainment, Saudi Arabia is welcoming entrepreneurs to establish media companies in the land. There’s a wide scope for innovative technology solutions at places of pilgrims and cultural heritages across the country as well as in the events sector.

Vision 2030 aims at developing new cultural and entertainment destinations such as Saudi Media City that will be indicative of the aspirations of the citizens of Saudi Arabia. The strategic national plan also outlines the support to be provided to writers, authors, and directors, empowering them to reflect the changes in modern Saudi Arabian society through their work.

Some of the goals planned for the media industry in the next few years are to have over 16,000 media jobs in the country, grow the GDP of media companies, and increase the revenue from this sector from 17% to 42% in the national economy.