Latin America is emerging as one of the fastest-growing media markets globally, with revenues forecast to reach $65 billion in 2026, representing a 10.7% year-on-year growth, according to new Omdia data presented by Maria Rua Aguete, Head of Media & Entertainment at Omdia, during Content Americas. This growth significantly outpaces the US, which is expected to grow by 6.9% to $453 billion over the same period. LATAM's expansion is being driven by the rapid adoption of online video, advertising-led models, and innovative formats like microdramas.

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Microdramas total revenue (USD Bn) outside China - 2023-2026

Brazil and Mexico are at the forefront of LATAM's media expansion. Brazil is the third-largest FAST (Free Ad-Supported Streaming TV) market globally by revenue, with $152 million, trailing only the US and the UK.

Rua Aguete noted, "What's happening in Latin America is nothing short of remarkable. From the rise of FAST to the integration of microdramas into platforms like ViX, the region is showcasing how innovation can drive engagement and growth in the global media landscape."

In terms of usage, Mexico and Brazil rank among the world's heaviest users of FAST services, with 53% and 40% usage, respectively. Netflix continues to dominate the LATAM streaming market, accounting for nearly 50% of streaming revenues. This success is supported by the rollout of its ad-supported tier and bundling strategies. Meanwhile, content discovery in the region is increasingly mobile-first, with platforms like YouTube and Instagram Reels reaching 97% of adults aged 18–64 in Brazil.

Microdramas: The Next Frontier

Microdramas are rapidly transforming LATAM's media landscape, with revenues projected to reach $14 billion globally by the end of 2026, including $3 billion generated outside China, according to Omdia. These vertically formatted, mobile-first stories are gaining traction due to their low production costs and high engagement. "Microdramas are no longer a niche experiment. They are becoming a core driver of mobile video engagement," said Rua Aguete, adding: "What stands out is not just revenue growth, but the intensity of usage. On mobile, microdrama apps are generating more daily viewing time than the world's biggest streaming platforms."

TelevisaUnivision's ViX platform exemplifies the integration of microdramas into AVOD and freemium ecosystems, leveraging short-form storytelling to expand reach, boost engagement, and increase total time spent on the platform. With comparatively lower daily use on mobile, Amazon Prime Video and Disney+, are already under threat at losing more ground to these new Microdrama apps, such as DramaBox and ReelShort.

Advertising as the Growth Engine

Advertising has become the primary driver of LATAM's media growth. In 2025, $42 billion of global online video expansion was attributed to ad-driven models, underscoring the shift away from traditional television and subscription-based monetization strategies. This evolution highlights the growing importance of advertising-led approaches in the region's media ecosystem.

Strategic Implications for Global Streamers

As global media and entertainment revenues approach $1.2 trillion in 2026, streamers like Netflix, Amazon Prime Video, and Disney+ face increasing pressure to close the mobile engagement gap with social platforms such as YouTube and TikTok, where users spend more than an hour per day. The rise of mobile-native formats like microdramas offers a strategic opportunity to capture this growing audience without cannibalizing long-form premium content.

Latin America's mobile-first consumption patterns, strong advertising markets, and innovative storytelling formats make it a natural testbed for the next phase of global media growth. With online video revenues in the region projected to hit $34 billion in 2026, LATAM is not just keeping pace with global trends—it's setting the standard for the future of media.

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Fasiha Khan: fasiha.khan@omdia.com

Eric Thoo: eric.thoo@omdia.com