India’s OTT market expands to 1.45 billion monthly active users driven by data, smartphones

India’s streaming, or OTT, sector is witnessing rapid expansion, driven by affordable mobile data, rising smartphone penetration and a surge in digital content consumption.

A report by brokerage CLSA said the country’s total OTT monthly active users (MAUs) have reached about 1.45 billion, reflecting a 20% increase over three years and a 2% rise over the past 12 months. Users generally access more than one platform, resulting in overlapping MAUs across services.

The report added that smartphone users are projected to grow nearly 20% to 885 million by FY28, supporting continued growth for streaming platforms.

At the forefront is YouTube, which dominates the market with 772 million MAUs, according to CLSA. The platform has seen steady growth, with users rising 19% over three years and 5% over the past year. It is followed by JioHotstar, backed by Reliance Industries, which has amassed 390 million MAUs, benefiting from its strong sports and entertainment content portfolio.

Among other platforms, MX Player, owned by Amazon, has 78 million MAUs, though its user base has declined by 11% over three years and 10% over the past year, the report said. Netflix has moved ahead of Amazon Prime Video in India, with 92 million MAUs compared with Prime Video’s 67 million.

Netflix’s user base has grown 15% over three years and 10% over the past 12 months, while Prime Video has seen a decline of 30% over three years and 17% over the past year, according to CLSA.

Meanwhile, ZEE5 continues to adopt a differentiated strategy focused on direct-to-consumer subscriptions. Despite a relatively smaller base of 29 million MAUs, comparable with Sony LIV’s 30 million, ZEE5 has prioritised monetisation over scale.

Its subscription pricing, ranging between Rs 199 and Rs 299 per month, is higher than that of peers such as JioHotstar, priced between Rs 79 and Rs 149, and Netflix, which offers plans between Rs 149 and Rs 199.

This premium pricing strategy, combined with a strong focus on local content, is yielding results. ZEE5’s revenue for the first nine months of FY26 rose 45% year-on-year, making it the fastest-growing vertical within Zee Entertainment Enterprises.

The platform also achieved breakeven in the third quarter of FY26, supported by a 50% subscription price hike implemented in July 2025.