The new “Key Trends” report from the European Audiovisual Observatory 2026 outlines the state of the sector, highlighting a growth in production and a structural transformation in financing and consumption models.
Currently, the European film and television industry is experiencing a season of extraordinary renewal. Indeed, recent data confirms a sector in full economic expansion. Revenues reached a milestone of €142 billion in 2024. This success is largely fueled by a strong bond with the audience. Specifically, more than half of this figure stems from private investments in streaming, pay-TV, and cinema. Consequently, such financial solidity provides a foundation for innovation. However, behind this stability lies a transformation reshaping the market foundations.
Record-Breaking Production and Sustainability
The most evident sign of this vitality is the historic production record. Notably, Europe produced 2,523 feature films across 36 countries in a single year. This surge confirms an extraordinary creative capacity. Nevertheless, it also raises urgent questions about the system’s sustainability.
Producing so much is a sign of strength. Yet, audience attention remains a scarce resource. As a result, many works risk remaining “invisible” due to overproduction. Furthermore, these projects struggle to find adequate distribution spaces, especially in traditional theaters.
Shifting Habits: The Rise of Streaming Series
At the heart of the problem lies a dramatic shift in viewing habits. Today, the European audience spends 78% of its time on streaming platforms watching series. In contrast, films now account for only a 22% share of viewing time.
Because the market is dominated by episodes, producing TV series has become a financial necessity. Therefore, the industry faces a new risk. The traditional film may be declassed from an autonomous work to a mere promotional tool.
Global Capital and Economic Dependence
This mutation is closely linked to the growing role of global capital. In fact, funding from international streamers has risen from 8% to 24% in just four years. While giants like Netflix or Disney guarantee high-quality content, they also create structural dependence.
Unfortunately, Europe controls only 12% of the sector’s global revenues. This disproportion highlights the lack of “national champions” capace di competere con Silicon Valley. Consequently, il nostro continente sta diventando un prestigioso “hub creativo” che però fatica a mantenere il controllo economico sulle proprie opere.
Social Progress and Industrial Sovereignty
Finally, human and social factors cannot be ignored in this analysis. The report highlights that the path toward gender equality remains extremely slow. Currently, women occupy barely a quarter of key positions in directing and screenwriting.
Simultaneously, the precarization of creative work remains a major concern. Contractual protections are struggling to adapt to the speed of the digital market. In conclusion, the European audiovisual sector appears extraordinarily productive in 2026. Ultimately, the real challenge will be balancing global integration with the defense of cultural sovereignty.
Check out the full report at https://www.obs.coe.int/en/web/observatoire/-/the-value-of-europe-s-audiovisual-market-is-estimated-at-142-eur-billion
