Report · February 1, 2025

Australian Video Games Industry Policy Platform: February 2025

Published by Interactive Games and Entertainment Association

Summary

The Australian video games industry represents a vital economic sector, generating $339.1 million in revenue and supporting 2,465 full-time positions during the 2024 fiscal year. With 93 percent of revenue derived from international markets and over half of all studios anticipating continued income growth, the sector is positioned to evolve into a global powerhouse. The primary objective is to scale the industry to a $1 billion valuation by 2030, a goal that necessitates a strategic shift toward long-term policy frameworks, increased federal investment, and enhanced export support to facilitate international publisher partnerships and local intellectual property development. To achieve this growth, the industry requires a modernized regulatory environment that replaces fragmented, reactive policies with evidence-based standards. Current classification and online safety laws often impose disproportionate burdens on developers, hindering innovation. By streamlining these frameworks and reducing administrative red tape, the government can provide the certainty required for studios to scale operations. Furthermore, the industry advocates for a more integrated approach to public policy, specifically by leveraging "serious games" to address societal challenges and fostering closer alignment between government initiatives and the practical needs of game developers. Sustaining this trajectory also depends on addressing critical structural challenges, particularly regarding talent acquisition and capital access. The industry faces persistent talent shortages that demand improved migration pathways and a renewed focus on STEAM education to build a robust local workforce. By combining these educational and immigration reforms with targeted research and development incentives, Australia can foster a competitive ecosystem that attracts international investment while empowering domestic studios. Ultimately, the transition to a billion-dollar industry relies on a collaborative partnership between the public and private sectors to prioritize innovation, intellectual property protection, and sustainable economic development.

From the report

Australian Video Games Industry Policy Platformer Game February 2025 February 2025 To help Australia to reach its full potential as a serious global player in the video games industry thevideo industry games

Australia has much to celebrate when it comes to video games. employment These funding commitments, coupled d by Australians love playing video games With this revenue and employment for many reasons, for fun, to connect, with select state government digital opportunity, supported by the challenge, de-stressing and games rebates, position Australia government, Australia can build on keeping the mind active. as having one of the world’s most this momentum and create a thriving Latest research shows: generous games incentives, fostering video games industry ecosystem. project delivery by highly creative With ambition and clear vision, we • 81% of Australians play video games. digital businesses and enticing can fully realise the opportunities multinational game studios to presented by the video games • Most Australian households have establish a presence and invest in industry, becoming a global at least one device to play video Australia. Australian studios of all powerhouse for the global video games. sizes and locations now have the games industry that leads to greater • 91% of parents play with their opportunity to access government economic wealth and creation of jobs, children to connect as a family. funds which ultimately will lead to no longer tied to being labelled as an a diversified local development underdog and punching above • Contrary to stereotypes, almost half ecosystem. our weight. are women playing games. We deeply appreciate the support There’s an opportunity to recover

family. funds which ultimately will lead to no longer tied to being labelled as an a diversified local development underdog and punching above • Contrary to stereotypes, almost half ecosystem. our weight. are women playing games. We deeply appreciate the support There’s an opportunity to recover • The average age of players is 35 for Australian video game creators, lost ground post to recover years old. which could only be achieved through post GFC, COVID and – even – cross-party support. Industry continues instilling more investment The Australian video games industry to share positive feedback about confidence and a sustainable pathway not only provides entertainment to the DGTO and we look forward to to a globally competitive industry. players across the world; it creates increased industry uptake of this It’s not just about video games nor businesses and employment, tax offset being well-utilised by the the industry itself. There are natural inspires innovation and talent, while industry. spillover benefits that investment contributing to the Australian economy. in the industry can offer, building Our latest annual data shows: But there’s no time to rest on • Australian-made games brought in $339.1 million in largely export our laurels – revenue. the necessary foundational Science, Technology, Engineering, the Arts and Mathematics (STEAM) skills of our future workforce and diffusion of talent and innovation across industries.

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Words: 10,335
Format: PDF
Type: Report

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