MDA advisory panel commends progress of Singapore's media sector

The IAP further urged Singapore to tap on existing core strengths and advantages to ramp up its role as a media hub and services centre both in Asia and globally.

Singapore’s promotion of the media sector spans nearly two decades. In the nineties, service-for-hire business models dominated the media sector. With the launch of the Media 21 blueprint in 2003, content development efforts hastened the move of local media companies to become owners and creators of original intellectual properties that are now distributed globally.

Beyond content, Singapore is leveraging its strength in digital media to begin supplying applications and technologies to the world. To further scale up the media sector, the Singapore Media Fusion Plan (SMFP) launched last year will see a concerted push to promote R&D, raise financing capability, nurture talents and enhance infrastructure to boost growth.

Based on the latest available data from the Department of Statistics, over an eight year period, the total operating receipts of Singapore’s media sector nearly doubled, going from S$12.7 billion (US$9 billion) in 2000 to S$22.4 billion (US$15.9 billion) in 2008 at a compounded annual growth rate (CAGR) of 7.4 per cent. Total employment rose by over 30 per cent to top 63,247 in 2008, up from 48,038 in 2000.

The fast-growing IDM sub-sector, which was non-existent four years ago, has grown at an estimated 25 per cent CAGR since 2005, adding some S$1.3 billion (US$925 million) in revenue and 3,500 new jobs in the process.

IAP members remarked that Singapore has been successful in attracting international media players to base here - with 22 major broadcasters now in Singapore.

As Asia rises in importance in the global media and entertainment market, it will be rewarding for Singapore to reinforce its positioning as a springboard for Western media businesses venturing into Asia, as well as a global launch pad for Asian enterprises expanding beyond their home markets.

In particular, Singapore can establish itself as a valuable partner for emerging Chinese and Indian media enterprises expanding into Southeast Asia.

The IAP suggested that Singapore should extend the country’s core strength in services to the media industry by raising its importance as a media services centre through building and aggregating companies that provide ancillary services in the media sector that covers legal, financial, sales, licensing, distribution and digitisation.

With the growth of media platforms and devices, repurposing media content beyond its primary use will be a viable niche for Singapore. The IAP pointed out Singapore’s robust intellectual property regime as a key differentiator that will support this role.

The IAP further noted Singapore’s cutting edge in digital media services with the country being one of the first in the region to invest in high-definition television and stereoscopic 3D movie production.

IAP members affirmed Singapore’s culture of innovation that is gaining momentum since the country begun investing in interactive digital media research and development four years ago. To date, some 330 R&D projects have been funded.

To widen the ranks of entrepreneurs, IAP members urged Singapore to create a culture that encourages innovation, which includes a forgiving environment for failed entrepreneurs.

The IAP also emphasised the importance for fledging Singapore media companies to scale up as they take on the global market. They also suggested that Singapore nurtures market leaders in certain niche areas that will act as successful models for the rest of the industry.