The growth of animation and the evolution of VFX technologies has altered the storytelling pattern, resulting in a boom in the entertainment business. Despite the economic downturn in the recent past and stop in production in the early months of the pandemic, there has been a healthy competition between media and entertainment sector with animation & VFX offering the content an edge. Animation and visual effects studios have seen a considerable increase in content demand for domestic shows in the recent years with the animation segment alone recoding a growth of 10% in 2020. Despite substantial losses caused as a result of the initial phase of the pandemic, it reached Rs 24.5 billion market size.
India has the world’s second-largest entertainment market. According to Boston Consulting Group (BCG) and the Confederation of Indian Industries (CII) research, the Indian animation and visual effects industry has the potential to grab 20 to 25% of the worldwide AVGC market. With the increased demand for high-quality material in commercials, web series, movies, and OTT, directors and producers are more inclined to use cinematic effects and animation rather than live-action shots. Creators are increasingly integrating VFX and animation effects to make the illusion genuine and integrate fantasy into reality. To maintain the momentum, creators might develop or write content that is rich in fantasy and visual essence. According to one study, this sector can provide 75,000 to 125,000 direct and indirect jobs by 2025 and can be beneficial to the Indian economy. The combination of animation and the VFX business allows enthusiasts and aspiring animators to flex their ideas and extend their wings in order to create a profitable product.
Reason for the growth
1.Booming market: There has been a tremendous increase in the number of young people interested in using 4G, 5G, and other portable gadgets. Increased usage of visual effects (VFX) in filmmaking and animation. When it comes to a service provider country in the animation industry, India is one of the first possibilities.
2. Relevant opportunities: The OTT, television, and AGV divisions are driving industry expansion, and in this digital era, it is also helping to strengthen technology. Cities such as Mumbai, Chennai, and Bangalore are thriving for animation companies and academies.