Italy’s inward cinema, TV and video-on-demand sectors content investment fell in 2025 for the first time since 2018, the annual APA report released at the MIA Market in Rome indicated.
The overall audiovisual content investment dropped 7.4 percent to €2 billion ($2.24 billion) last year, compared with the 2024 stats, according to the APA, the Italian audiovisual producers association. The dropoff came amid a government overhaul of Italy’s tax credit system for indie producers and local audiences shifting from traditional linear TV broadcasters to emerging streaming platforms.
The latest APA report also comes against the background of an Italian industry dealing with screens of all sizes and new value placed on original IP as storytellers find new platforms to reach audiences. According to the APA report, Italian scripted productions for TV and VOD platforms saw their inward investment fall to €122 million ($137 million), while fiction production dropped to €740 million ($830 million) last year.
“The main factor affecting the sector’s resilience is uncertainty surrounding the public funding framework, from the amount of available resources to eligibility criteria and application timelines. This situation hampers producers’ ability to plan ahead, increases financing costs and reduces margins, placing pressure on all companies, particularly smaller businesses, with consequences for liquidity and investment capacity,” the APA report indicated with commentary.
As elsewhere in the global industry the market share of Italian linear free and pay TV channel continues to fall as streaming platform grew to a 43 percent share in 2025. “In the short to medium term, it is expected to surpass linear television in value,” the APA report warned about the continuing dominance of streaming platforms in Italy.
European producers at the MIA Market this week heard they no longer compete just with each other but against American studios and streamers, YouTube and social platforms. So they require new public and private financing to maintain their audience share and international revenues.