MUMBAI: India is emerging as an outsourcing hub for animation and visual effects with large number of international media companies entering into joint ventures with animation studios in India.
According to a new report by Research & Markets, the animation market in India is estimated to be worth $460 million in 2008 and is expected to reach $1,192 million by 2012. Animation sector comprises of education, multimedia/web design, entertainment and custom content development.
The report provides a brief overview of the Indian animation industry including market size, growth and key segments. Analysis of drivers reveals that growing demand for animated content in the domestic market, cost arbitrage opportunity in India, improving animation education and increasing character licensing business have helped growth of this sector in India.
The key challenges identified include high set-up and production cost, talent shortage and lack of protection of intellectual property. The future trends identified include increasing animation application in other sectors, domestic animation movies earning revenues through international releases and increase in investments and realizations for animated movies in India.
The competition section profiles the major animation studios in India including their business overview and work portfolio. The report also identifies key developments in the animation sector in India.