Japan’s streaming market reaches $7.2 billion, the report shows
Japan’s premium video-on-demand sector will reach total revenue of $7.2 billion by 2025, up 15% year-on-year, according to a new report from Media Partners Asia. The growth reflects platforms’ increasing reliance on diversified revenue models, including ad-supported subscription options, in addition to greater investments in domestic programming and live sports rights.
Three services control half of the market’s total turnover. Netflix holds the top revenue position with 22% of the category, while Prime Video leads in subscriber base with 19.3 million users and benefits from cross-promotion within its broader retail and e-commerce businesses. Local service U-Next manages 12% of revenue through an integrated content package that combines streaming video with manga, music and exclusive sports programs, creating competitive advantages over international rivals.
Subscription video platforms will collectively gain 4 million subscribers in 2025, bringing the total to 67.9 million if YouTube Premium is included. Netflix posted the biggest gains, powered by the renewal of its partnership with telecom giant KDDI in November 2025 and strong performance from Japanese originals. Sports streamer DAZN also made a meaningful contribution through its bundled inclusion in telecom player NTT Docomo’s ahamo Max mobile service, while the Disney+/Hulu Japan combined package expanded its reach.
Total viewing hours via premium VOD reached 8.1 billion hours in 2025. The broadcaster-backed free streaming service TVer captured the highest share of total viewing time at 23%, although Netflix achieved superior engagement per subscriber, with users averaging nearly 20 hours per month on the service.
Local productions continue to anchor viewer interest, accounting for 80% of all streaming hours. Animation proved particularly strong, with ‘Spy x Family’ as the most-watched title in the fourth quarter of 2025. Japanese live-action series and variety formats dominated TVer’s AVOD programming, while Netflix delivered ‘Last Samurai Standing’ and Amazon contributed ‘The Golden Combi’ and ‘Love Transit’ as notable original productions. US content still reached a significant audience, with 28% of users watching US series and films such as Netflix’s ‘Wicked’, ‘A Minecraft Movie’ and ‘Stranger Things’.
Major platforms are now prioritizing live event programming. Netflix will enter the sports streaming arena by securing exclusive rights to the 2026 World Baseball Classic, TVer plans to broadcast select competitions from the 2026 Winter Olympics, and U-Next is expanding its sports portfolio with upcoming coverage of women’s golf and soccer main events in the English Premier League through 2028.
“The Japanese premium VOD market has reached a critical maturation point,” said Dhivya T, principal analyst and head of insights at MPA. “Growth is no longer just about net additions, but about sophisticated monetization through ad tiers, telco bundling and vertically integrated ecosystems. The entry of major players like Netflix into live sports and the continued dominance of local anime and drama suggest that the next phase of competition will depend on event-driven engagement and high-quality local storytelling.”
The data comes from MPA’s Japan Online Video Consumer Insights & Analytics report, produced using AMPD, the company’s measurement platform that tracks viewing behavior on mobile devices and connected television.
