Google overtakes Rai: the hierarchy of the Italian media is changing

In the SIC, another global platform is gaining ground behind the top two.

Meta, the group behind Facebook and Instagram, has taken third place with 9.7 per cent of the total. It gained 1.1 percentage points – the largest increase amongst the leading operators – and overtook both Comcast/Sky (which stands at 9.4 per cent) and Fininvest (at 9.2 per cent) in one fell swoop. Google ahead of Rai, Meta ahead of Sky and Fininvest: the shift is affecting the entire top of the rankings. And it is, inevitably, redrawing the boundaries of the Italian media ecosystem.

The comparison relates to the revenues attributed to the groups in the SIC, not their stock market value or viewing figures. But precisely for this reason, it reveals where the sector’s economic strength is concentrated. Alphabet gains 0.7 points compared with 2023; Rai loses 0.3. Fininvest also fell by 0.2 points, whilst Comcast/Sky grew by one-tenth of a point. Losing market share in an expanding market does not necessarily mean losing turnover. It does, however, mean having less influence over the overall distribution of resources.

The driving force behind this shift is online advertising. In 2024, it will reach nearly 8 billion euros, growing by 12.6 per cent and accounting for 36.6 per cent of the Sic on its own. It is the system’s primary source of revenue. Revenue from traditional media is also rising, by 3.4 per cent, to reach 5.2 billion. The gap therefore continues to widen even as traditional media make up ground in absolute terms.

The market as a whole is growing: the SIC has reached 21.8 billion – 6.9 per cent more than in 2023 – and accounts for 0.99 per cent of GDP. This growth outpaces that of the national economy. However, the benefits are being distributed at very different rates.

The presence of streaming platforms extends beyond the top three. Amazon is sixth with 4.9 per cent of the market, Netflix seventh with 3.5 per cent, and DAZN ninth with 2.5 per cent. All three have increased their market share. Between Netflix and DAZN lies Cairo Communication, at 3 per cent; followed by Gedi with 1.8 per cent, and Warner Bros Discovery and Telecom Italia, both at 1.2 per cent. The twelve operators above the 1 per cent threshold account for around 71 per cent of resources: 15.4 billion. None exceeds 20 per cent, but the balance of power within this group is shifting.

Television continues to account for a significant share of the economy. The sector comprising audiovisual services, radio and paid video-sharing platforms remains the largest within the SIC: almost 9.5 billion, accounting for 43.5 per cent of the total, up by 6.8 per cent. Free-to-air audiovisual services grew by 4.4 per cent, supported by advertising and public funding. Pay-TV services rose by 11.3 per cent: the online segment is accelerating, but satellite services are also on the rise again. This shift does not, therefore, coincide with a general decline in television.

It is the traditional publishing sector that has been hit hardest. Newspapers, magazines and press agencies have seen their revenue fall to 2.8 billion, down 3.9 per cent. Both circulation and advertising revenue have suffered. Their share of the Sic has fallen from 14.4% to 12.9%. Meanwhile, the digital publishing and online advertising sector has reached 8.2 billion, accounting for 37.8% of the total: a sector in which online advertising revenue accounts for 97% of total revenue.