According to a recent report, the current scale of Canada’s online entertainment industry is roughly $10 billion, with the figure covering everything from subscriptions and podcasts to gaming and licensing deals. But what are the key drivers, and how far could it go over the next decade?
Key Drivers of Canada’s $10B Online Entertainment Economy
The first, and perhaps the most significant, driver of this figure is the iGaming industry. In 2025, we talk about online casinos as if they were as commonplace as Netflix or Spotify, and the reason for this comes down to their remarkable growth over the last twenty-five years.
Because they have combined convenience, social interaction, and accessibility into a single, digital-first platform – traits that users have come to expect from their online experiences – iGaming has effectively become a mainstream form of digital entertainment, attracting millions of Canadians and contributing significantly to the broader online entertainment economy.
From online pokies to live dealer games, players across Canada have been actively participating in interactive gaming, and with the iGaming Ontario Act and Alberta Act helping them out, platforms have been given the room to grow as a result.
It also helps that the video game sector alone is flourishing, having generated about $3.4 billion in recent years. Perhaps due to the rise of Esports, competitive gaming has become a major driver of engagement, creating new revenue streams through tournaments, sponsorships, streaming, and in-game purchases.
Across the country, players and teams are increasingly participating in both domestic and international competitions, while platforms like Twitch, YouTube Gaming, and local streaming services have been fuelling the revolution, giving players and fans the ability to interact and converse in a way that has never been achieved before.
This has subsequently expanded the audience for video games, and when the video game audience is expanded, so too is the iGaming market, as players look to cross engage and experience every avenue of entertainment that Canada has to offer.
Other Key Drivers of the Entertainment Economy
Outside of gaming, it’s also important to note the impact of streaming services and digital media subscriptions. While a single, solid figure for total Canadian subscriptions is unavailable, major platforms like Netflix have around 9 million subscribers, with others like Amazon Prime and Disney+ having millions more.
Indeed, it’s been reported that approximately 90% of Canadians stream content, and this proves how deeply integrated on-demand digital media has become in everyday life. Why? Because, like online casinos, streaming services offer convenience, choice, and accessibility, allowing users to access a vast library of movies or music whenever and wherever they want.
Personalised recommendation algorithms have also had a part to play in their success. Because viewers can more easily find new content tailored to their preferences, they spend more time on these platforms, engaging with a wider variety of content, and therefore maintain their subscriptions over the long term. This increased engagement not only drives revenue for the platforms themselves but also supports the broader online entertainment ecosystem, including advertising, licensing, and content production.
In essence, the shift to on-demand media has made streaming services a central pillar of the $10 billion valuation, and as content companies continue to roll out new promotions and packages for users, this is only going to accelerate growth and boost that figure even higher.
Conclusion
From gaming to streaming, Canada’s online entertainment industry has grown into a diverse and dynamic ecosystem, and the best part is, it’s poised for more growth. These platforms aren’t going anywhere, and with new government legislations – alongside events like the TIFF and local gaming conventions – giving the industry more support and visibility, Canada is steadily becoming one of the world’s leading entertainment hubs.
