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The Expansion Of The Online Entertainment Industry In Latin America In 2025

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Latin America is no longer a quiet contender in the world of online entertainment. This region has a booming industry, which continues to grow year-on-year due to internet penetration and smartphone uptake. The online casinos, streaming, and gaming sectors are all enjoying expansion, and forecasts indicate that the momentum is not going to cease anytime soon.

iGaming

Latin America has a fast-expanding iGaming industry. Online gambling is growing across the world, and countries in the region are seeing the benefits that regulated gambling industries can bring, including tax revenue and funding for public projects, as well as consumer protections and the prevention of illegal gambling.

The reason for this expansion is also due to increased internet penetration into rural areas, an emerging tech-aware population, and cultural factors that have historically included gambling. Mobile gambling has also helped the iGaming industry grow, as more gamblers are using their smartphones to access online platforms.

The popularity of this sector is in part due to a strong casino affiliate network in Latin America. Personalities and influencers promote local platforms through their social content, earning commissions from successful signups via their affiliate links. Likewise, expert-prepared reviews of iGaming platforms and guides for players contribute to the number of options available to iGamers in Latin America.

Governments are also stepping up to create regulatory frameworks for the iGaming sector:

- The Brazilian government launched regulated online gambling and sports betting on January 1, 2025. Since then, dozens of licenses have been issued to operators, complementing the country’s established land-based casino sector. It is expected that the online sector will generate $2 billion annually in tax revenue.
- Online gambling remains illegal in the autonomous region of Buenos Aires, but 15 of the 24 Argentine jurisdictions have legalized iGaming. Argentina aims to become a top destination for iGaming investors, as both local and international businesses can obtain gambling licenses.
- Online gambling licenses in Mexico are restricted to local operators. Should a foreign operator wish to enter the market, it has to partner with a local license holder. Mexico has a strong land-based sector, however, online gambling uptake was not as popular as expected, but it continues to grow.
- Colombia regulated its online gambling sector in 2016, and all operators must be licensed by Coljeugos.

The growth of the iGaming industry is also due to technological advancements. In-game bets, instant odds, mobile-optimized betting platforms, and live dealer games have made live gambling and betting more accessible.

Online Movies And Streaming

Latin America has a massive media and entertainment industry, projected to reach $55 billion by the end of 2025. Almost half of this revenue is forecast to come from online video streaming, totalling $24 billion.

The region is fast becoming one of the biggest markets for free ad-supported streaming television (FAST). This market targets lower-income communities who might not be able to afford paid subscription services. FAST revenue is set to grow from $231 million by the end of 2024 to $569 million by 2029. Brazil is the biggest driver for this growth and is the third-biggest FAST market in the world (behind the US and UK).

Subscription video-on-demand (SVOD) is also expanding in the country, as more people get access to fast internet. Statista reports that SVOD services will reach 165 million people by 2029. Regional streaming services are meeting demands by offering data-saving streaming options and offline watching. Local shows are gaining traction, however, Hollywood blockbusters and TV shows remain more popular.

Pluto TV recently entered the Latin American market with a vast content library, and it is likely that SVOD consumers might shift to FAST channels as a result. Another big name in the industry is DistroTVB, which recently launched a Spanish-language service to audiences in Latin America and the US.

Digital Gaming

Latin America is one of the fastest-growing markets for online games. The region holds a lot of potential for businesses, and more game developers are exploring what’s on offer and investigating the needs of local gamers.

The gaming industry in Latin America is valued at around $2.7 billion currently, with a projected growth to $4.3 billion within four years.

Mexico, Brazil, and Argentina are key to this growth due to the following factors:

- Growth of mobile games: More people are owning smartphones and tablets with good graphics and processing capabilities, making online mobile games more accessible. WiFi and data coverage are expanding, allowing more people to play online or download games.
- Live streaming: Streaming platforms like Twitch have exposed gamers to new forms of entertainment. They get to explore the gameplay of new games and learn strategies to enhance their gaming.
- eSports: Competitive video game tournaments are attracting hundreds of players and thousands of spectators, offering millions of dollars to the winners.

These factors combined have resulted in the ideal market for gaming developers and cloud gaming services to invest in Latin America.