68 MOSCOW’S CREATIVE INDUSTRIES – PROFILES

TV AND RADIO CREATIVE INDUSTRY GVA ESTIMATES

MOSCOW RUSSIA

181.3 216.6 billion roubles billion roubles

1.01% of GRP 0.23% of GDP

OKVED2 CODES CONTRIBUTION TO MOSCOW’S CREATIVE ECONOMY

90.03 Creation of informational content ENTERPRISES AND SPs REVENUE EMPLOYMENT

60.10 Radio programming and broadcasting 2.7% 2.5% 9.4% 4.2%

60.20 Television programming and broadcasting

63.91 News agency activities 2,954 285.2 19.5 units billion thousand roubles persons

Of which enterprises – 1,595, Provided revenue reports for 2018 – Provided employment reports for 2018 – sole proprietors – 1 359 869 enterprises (54.5%) 1,061 enterprises (68.3%) MOSCOW’S CREATIVE INDUSTRIES – PROFILES 69

EMPLOYMENT PERCENTAGE DISTRIBUTION TV AND RADIO:

ENTERPRISES: LOCALISATION OF ENTERPRISES micro (under 15 persons) small (16–100 persons)

medium-sized large (101–250 persons) (over 250 persons) 69.8% 24.4 are employed in top 50 enterprises 51.7

17.6 6.4

REVENUE PERCENTAGE DISTRIBUTION

ENTERPRISES: micro (under 120m roubles) small (800m roubles)

medium-sized (2bn roubles) large (over 2bn roubles)

11.3 83.9% revenue is earned by top 50 enterprises 73.5 9.7 Concentration 5.5 min max 70 MOSCOW’S CREATIVE INDUSTRIES – PROFILES

LARGEST RUSSIAN PRODUCTION COMPANIES OF TV PROGRAMMES AND SERIES

TOP 10 PRODUCTION COMPANIES TOP 10 PRODUCTION COMPANIES OF TV PROGRAMMES OF TV SERIES

Main Duration of produced programmes on Content share for Duration of produced programmes broadcasting seven largest channels*, hours seven largest on 17 channels*, hours channel channels*

2017 2018 2019 2017 2018 2019 4,132 2,655 Comedy Club Production TNT TeleAlliance Media 99.7 2,407 2,500 2,901 2,240

3,214 3,248 REN TV REN TV Amedia Production 2.6 1,443 1,896 1,916 3,094

2,948 1,034 1,099 Channel One Channel One 2,184 2,549 Comedy Club Production 100 845

1,694 1,064 VGTRK Russia-1 3x Media Group 90.1 727 1,506 1,453 451

1,650 838 NTV NTV 1,275 1,304 STAR MEDIA 52.0 525 553

723 652 MB Group Russia-1 693 Gamma – Production 92.9 426 653 394

660 566 895 Krasny Kvadrat Channel One 455 Good Media Story 73.5 627 641

732 607 609 Cenral Television Studio NTV 669 548 MOSTELEFILM 86.0 424

509 531 791 777 MIC Izvestia JSC Channel One 287 YBW Group 73.5 593 664 418 457 587 TV Medica International Russia-1 Art Pictures Studio 50.9 303 154

* Largest channels: Channel One, Russia-1, NTV, TNT, STS, 5TV, REN TV. Minor channels: TV Centre Domashny, TV3, Zvezda, Carousel, Disney, Friday!, Che, Channel U, STS Love. Source: HSE estimates based on the data of annual sector-specific reports of the Federal Agency of Print and Mass Communications ‘Television in Russia’.

MOSCOW’S CREATIVE INDUSTRIES – PROFILES MOSCOW’S CREATIVE INDUSTRIES – PROFILES 71

KEY PLAYERS IN THE PAY TELEVISION MARKET IN RUSSIA AND IN MOSCOW: 2019

RUSSIA The Russian TV production market is fairly stable: top 5 players are traditionally represented by own production billion subdivisions of the largest TV channels million roubles (REN TV, Channel One, Russia 1, NTV), 45.3 104.2 as well as the ‘Comedy Club Production’ subscribers operators’ revenue company that creates content for TNT.

The segment of TV series and sitcoms 33 27 production is continuously pressed and Other Other 27 pushed away by ‘non-TV’ players – online Tricolor TV 8 cinemas and distributing platforms – that MTS 36 spread the demand for this type of content. 8 Rostelecom ER-Telecom % % In 2019, the revenues of Russian 23 11 pay television operators reached 9 18 Rostelecom ER-Telecom MTS Tricolor TV 104.2 billion roubles, including due to the shifting of a number of subscribers to a more expensive IPTV segment*. The total pay television subscription MOSCOW* base has exceeded 45 million subscribers, its growth, however, is challenged by the competition from online 12 13 Other Other platforms. The key player on the Moscow pay television market is Rostelecom: 7 6 it holds over a half of all subscriptions Tricolor TV NTV Plus and total revenues. 12 54 13 55 MTS % Rostelecom Akado % Rostelecom 15 13 Akado MTS

* Data for 2Q 2020. Source: HSE estimates based on TMT Consulting data. * IPTV – Internet Protocol Television (Interactive TV).