Advertising-supported streaming will play an increasingly important role as Australians look for savings, according to Deloitte’s Australian edition of TMT Predictions 2025.
Demand for SVOD services will remain stable but bundling and ad-tiers will play an important role with three-quarters of Australians concerned about rising costs.
The Deloitte study says 15% of non-bundling consumers will bundle their subscriptions in response to cost pressures and subscription fatigue.
Growth in ad supported streaming is expected to rise to 18% in 2025 from 11% in 2024.
When it comes to content creation, Generative AI will help drive efficiencies and unlock value for studios but IP concerns will limit content use cases.
Deloitte says the TMT (Technology, Media and Telco) sector is on the verge of a significant leap forward, largely powered by rapid AI adoption.
The findings show the gender gap in AI adoption persists with lower trust, education and employment participation driving the shortfall.
Half of women in the Australian workplace use and trust generative AI compared to almost three quarters (70%) of men.
In 2025, Australian women will account for 40% of AI-related educational enrolments and 20% of AI employment participation, driven by educational institutions and businesses continuing to promote initiatives specifically designed to increase female participation.
“The 2025 TMT Predictions show we are at a pivotal moment where the choices we make today will have a significant impact on the future of the sector,” said Deloitte Australia National Industry and Sector Lead, Bec McConnochie.
“This presents a unique opportunity for us to make sure that the future is based on trust, inclusivity, and sustainability so that industry advancements not only benefit the current generation, but all those who follow.”
Autonomous generative AI agents are impacting the TMT sector but Australian businesses will take a cautious “wait and-see” approach, reflecting the country's broader trend of slow Gen AI adoption.
Uptake is expected to enhance efficiency in the manufacturing, retail, professional service, and health care industries.
When it comes to on-device generative AI, it’s estimated more than half of Australian smartphones will be AI enabled by the end of 2025.
This is driven by the dominance of premium brands such as Apple, with its market share of 55% locally compared to 25% globally. The growing adoption of AI-enabled smartphones will push out device upgrade cycles. The average premium smartphone will be replaced every four years, an increase of six months from 2023.
The rise of deepfakes is another trend that stands out. Deepfake attacks are expected to double in 2025 impacting over 40% of Australian businesses, with increased use of social engineering tactics to bypass human controls.
The number of consumers targeted by deepfake scams is expected to rise from around a third (36%) in 2024 to half of all consumers in 2025. Women are being disproportionately impacted by deepfake harassment with nine of every ten incidents targeting females.
Graphics from Deloitte’s Australian edition of TMT Predictions 2025:
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