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digitalization-creative-industries-spain

Digitalization of creative industries in Spain

Article by Natalie Asmussen at DomSpain

Digitalization is taking over the world’s industries. Find out how the creative industry in Spain is growing thanks to the digitalization of content

Digitalization of creative industries and industries, in general, is inevitable in Spain and around the entire world, and indeed is already well underway. In this article, we’ll have a look at the following:

  • Where Spain stands compared to the rest of Europe in terms of general digitalization
  • How Spain is investing in its creative industries
  • Impact that digitalization has had on creative industries.

Digitalization in Spain

Spain is in 11th place in the European Union according to the DESI Index which measures a country’s Digital Public Services, Connectivity, Human Capital, Integration of Digital Technology and Use of Internet Services. This means that Spain is above the average country in the European Union.

Spain especially excels in Digital Public Services — it comes in 2nd place in Europe. This is most likely thanks to a default digital strategy employed in administration processes. Connectivity is also a point where Spain earns high marks — it’s in 5th place in the EU. That’s because 80% of households in Spain have fibre optic coverage (the EU average is just 34%).

Spain doesn’t score so well in terms of human capital. It comes in 16th place in the EU, below the average, with 43% of adults between 16 and 74 lacking sufficient digital skills. In terms of the integration of digital technology, Spain comes in 13th place which is an average for the EU. Many Spanish companies use electronic information exchange systems and are making progress in the use of emerging technologies, especially when it comes to cybersecurity.

There has also been an increase in internet services in Spain, and Spain comes in above the EU average. However, these internet services are often used for leisure activities instead of business.

Government initiatives to increase digitalization in Spain

Spain’s president, Pedro Sánchez, has presented three plans for the development of the Spain 2025 Digital Agenda, which will see an investment of over 1,000 million euros during three years. The three plans are the Digitalization Plan for SMEs, the National Plan for Digital Competences and the Digitalization Plan for Public Administrations.

These are in addition to three other plans already in existence — the Connectivity Plan, the Strategy to Promote 5G and the National Strategy for Artificial Intelligence.

Investment in creative industries

The European Investment Fund together with the Compañía Española de Reafianzamiento (CERSA) have signed a guarantee agreement under the new Cultural and Creative Sectors Guarantee Facility, as part of Creative Europe, an EU initiative.

This agreement will give 100 million euros of counter guarantees from the EU to CERSA, allowing Spain to develop 1,000 SMEs in cultural and creative sectors, like film, video games production, music, editorial and theatre, which are projected to receive 150 million euros worth of loans.

Digitalization of creative industries

According to a report by Strategy&, the increased use of Internet-connected digital technologies has had a profound effect on creative industries, specifically in content creation like book publishing, film, television, music and gaming. The report concludes that “The vast majority of all growth generated in today’s creative industries is digital.”

Non-digital parts of creative industries are shrinking and are projected to continue to do so, but the revenue of these creative industries is staying strong, as the industries adapt to the new digitalized world. These industries owe much of their sustainability to consumers, who are willing to pay more for digitalized creative content.

This report found a few key points:

  • Mass use of the internet has revolutionized creative industries — between 0203 and 2013, creative industry revenue grew 1.2%
  • Consumer media usage is growing at a 4% annual increase across European countries
  • Content creators benefit from the increased access that their customers have to their content thanks to digitalization

Conclusion

The digitalization of every industry is likely to continue increasing in Spain and around the world. There are various benefits to this increased digitalization, including expanded connectivity and access to information, learning and resources for people who before were relatively isolated from the digital world.

Digitalization is also helping industries like the creative industries grow and increase revenue. More consumers can access content, and content creators are adapting to digitalization and improving and increasing their output of creative content, including films, music and writing.

References

New Reports on Digital Transformation in Spain, 18 Aug. 2020

Three New Plans for the Digital Development of Spain Presented, with 11,000 Million.on5g, 28 Jan. 2021

Grone, Florian, et al. “The Digital Future of Creative Europe: The Impact of Digitization and the Internet on the Creative Industries in Europe.”, pwc.fr, 2015

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