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Year in review
While 2021 was marked by the covid-19 pandemic, 2022 was shaped by the outbreak of war between Ukraine and Russia. This conflict affected many sectors, including the audiovisual and communication industries.
Based on data released in the CNMC’s 2022 Sectorial Report pertaining to the Telecommunications and Audiovisual Sector in Spain, in 2022, both retail and wholesale revenues experienced growth. However, the increase was not substantial, with the annual growth rate in both cases being around 1 per cent. The sector’s total investment reached €5,764.9 billion, marking a 6.4 per cent decrease from the previous year. A significant trend in 2022 was the substantial increase in data traffic for both fixed and mobile communications services, the latter seeing a rise of more than 42 per cent compared to 2021.
According to the ‘Digital Decade 2023 Report’ from the European Commission, Spain maintains its position as a front-runner among the prominent European Union economies regarding digitalisation and connectivity. Spain stands out for its widespread adoption of ultra-fast broadband (93 per cent), significantly exceeding the average (73 per cent). Additionally, the country surpasses the European average in terms of digital literacy, with 64 per cent of the population possessing fundamental digital skills. Moreover, Spain leads in business digitalisation, with at least basic digitalisation found in 68 per cent of its businesses and excels in providing digital public services (84 per cent).
According to the Prosecutor’s Report of 2023, based on the data collected in the year 2022, Spain saw the commencement of a total of 24,622 legal procedures and 218 investigative actions by public prosecutors in response to illicit activities falling under the umbrella of cybercrime, as defined in the Instruction 2/2011 of the Public Prosecutor Office (FGE). This resulted in a combined total of 24,840 cases. Notably, the largest portion of these legal proceedings pertained to incidents falling under the category of scams and frauds, totalling 20,111 cases, which accounted for 81.68 per cent of the overall cases filed within the jurisdiction of this specialised area.
The potential effects of the strike initiated by Hollywood’s actors and scriptwriters, who are advocating for improved working conditions, on investment in Spain, are still uncertain. This is occurring at a time when the industry is undergoing significant transformation as a result of the emergence of new streaming platforms and the integration of artificial intelligence. One of the primary outcomes could involve the postponement or cancellation of upcoming productions, an escalation in production expenses, and an increase in subscription costs for users as a result of the intense competition among OTT platforms.
The potential effects of the mentioned strike on the future are yet to be determined. However, data from the ‘Film Statistics 2022’ report, compiled by the Spanish Ministry of Culture and Sports, reveal a remarkable upswing in the Spanish film industry’s performance in 2022, both in terms of audience attendance and revenue. In 2022, a total of 705 films were showcased, drawing in 13.1 million viewers and generating a revenue of €77.5 million. These statistics depict substantial year-on-year growth of 94.1 per cent and 95.3 per cent, respectively, though they have not yet reached pre-pandemic levels.
Finally, the gaming industry in Spain has been witnessing consistent growth. In 2022, the industry generated a revenue of €2.012 billion, reflecting a 12.1 per cent increase from the previous year and double that of 2014. This is according to the latest annual report by the Spanish Video Games Association (AEVI). Employment in this sector also grew, with 9,893 jobs in 2022. With over 18 million regular gamers and 2.9 million esports viewers, Spain ranks 12th globally in esports viewership, even though it is 30th in population. This highlights the significance of video games as a preferred entertainment option for the Spanish populace.