economy
Asia’s Music Business: Five Countries Driving the Next Wave of Growth
The global music industry is entering a new era of transformation, and nowhere is this more evident than in Asia. Home to over 3 billion people across China, Japan, India, South Korea, and Vietnam, the region’s diverse markets are not only expanding rapidly but also redefining the way music is created, distributed, and consumed.
From established powerhouses like Japan and South Korea to emerging hubs such as Vietnam, Asia is shaping the future of the creative economy with unprecedented momentum.
Below, we take a closer look at five key markets—China, Japan, India, South Korea, and Vietnam—whose combined influence is setting the stage for the next decade of global music growth.
China: The Giant Awakens
China, with its population of 1.4 billion, continues to lead Asia’s digital transformation in music. According to PwC, China’s creative industry is projected to grow at 7% annually, driven by tech integration, streaming platforms like Tencent Music, and government-backed cultural initiatives. According to government figures, the country’s cultural and creative industries saw a 16% year-on-year growth in 2023, accounting for nearly 5% of its GDP.
Streaming platforms like Tencent Music Entertainment and NetEase Cloud Music dominate China’s digital music ecosystem, and also offer an entry point for international artists eager to reach new audiences. With this digital dominance and government-backed initiatives to grow cultural industries, China is on track to become a global leader in both revenue and influence within the music sector.
Will China lead the music business in the next decade? Read more here.
Japan: Tradition and Modernity in Harmony
Japan’s music market, the second largest in the world, is forecasted to maintain steady growth at a CAGR of 3.6% through 2028, driven by both physical sales and digital expansion. With 125 million people, Japan remains one of the world’s largest music markets. The creative industry here is seeing steady growth of 4.2% annually, anchored in its unique blend of tradition and modernity.
While physical CDs remain surprisingly strong in Japan, the country’s live entertainment sector is the true powerhouse, estimated at US $2.8 billion in 2024, reflecting the Japanese audience’s deep cultural engagement with concerts and festivals.
Beyond numbers, Japan has also positioned itself at the crossroads of tradition and technology. Opera houses, orchestras, and long-established labels work side by side with digital innovators, reinforcing Japan’s role as a guardian of heritage and a pioneer of modern entertainment. With Tokyo hosting major global tours and international collaborations, Japan is a cultural bridge for Asia’s music scene.
India: Streaming’s New Frontier
India is rapidly becoming the world’s fastest-growing music streaming market, with digital music revenues expected to reach US $570 million by 2027 at an impressive CAGR of 12.8%. This boom is fueled by its 1.4 billion-strong population and the rise of low-cost data plans, which have enabled streaming giants like Spotify, Gaana, and JioSaavn to flourish.
Bollywood continues to anchor India’s music industry, but independent artists are now gaining global recognition, particularly through platforms like YouTube and Instagram Reels. The growing middle class and diaspora communities worldwide amplify Indian music’s reach, positioning India not just as a consumer market but also as a cultural exporter whose influence will be felt for decades to come.
South Korea: Exporting Cultural Power
South Korea is perhaps the most striking example of how music can redefine a nation’s global image. Its digital music market is valued at €1.15 billion in 2024, with a projected 6.15% CAGR through 2029, underpinned by K-pop’s global success. Cultural exports, which include music, film, and broadcasting, surged to US $13.6 billion in 2024, with music alone contributing US $1.85 billion—a 51.5% increase from the previous year.
Behind this phenomenon lies a carefully constructed ecosystem of government support, entertainment conglomerates, and a global fan culture that is unparalleled in scale. South Korea’s ability to package music with fashion, drama, and lifestyle has created a holistic export model that many other nations are trying to emulate. It is no exaggeration to say that Korea’s music industry has permanently reshaped the global entertainment landscape.
Vietnam: A Rising Star in Southeast Asia
Vietnam is an emerging music hub where digital platforms are rewriting the rules of engagement. The country’s digital music streaming revenue is projected at US $40 million in 2024, placing it seventh in Southeast Asia. What makes Vietnam particularly interesting is the behavior of its superfans: around 13% of listeners spend over US $21 per month on subscriptions, merchandise, and exclusive content—figures that point to strong grassroots support for artists.
Local streaming platforms are thriving alongside global ones, enabling Vietnamese music to reach wider audiences both domestically and abroad. With a young, tech-savvy population and increasing international collaborations, Vietnam is poised to become one of Southeast Asia’s most dynamic music economies in the coming decade.
A Region at the Crossroads of Global Influence
Together, these five countries are not just fueling Asia’s creative economy; they are reshaping the global music industry. From China’s innovation in digital platforms to South Korea’s cultural export strategies, from Japan’s steadfast balance of tradition and modernity to India’s sheer scale of diversity, and Vietnam’s youthful surge into the global spotlight—Asia represents both resilience and reinvention. With over 3 billion people driving demand, the region is an unstoppable force.
As brands, artists, and businesses look toward the future, the message is clear: the next decade of global music will not be defined without Asia.
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