Canada's Gaming Sector Generates $5.1 Billion for the Economy in 2024

In 2024, Canada's gaming industry contributed a substantial $5.1 billion to the country's GDP, marking a 3% increase from 2021. This data is based on a recent economic report compiled by Nordicity for the Entertainment Software Association of Canada (ESAC), which was conducted between May and July 2024. The total GDP contribution of $5.1 billion includes $3.9 billion directly from the sector, with an additional $1.2 billion resulting from broader economic effects such as supply chain and employee wages. The survey revealed that 88% of the industry's revenue stems from exports, with 76% of companies remaining under Canadian ownership. Although there was a slight decrease in employment in the previous year, with a 3.5% decline compared to 2021, this was offset by an increase in full-time employees from 81% to 86%, as well as a 21% rise in average salaries across all roles to $102,000 per year. The report attributes the decline in employment to ongoing industry factors, including consolidation, studio closures, and layoffs. Currently, there are 821 studios in Canada, employing 34,010 individuals, with Ontario boasting the most studios at 276 and Quebec having the majority of employees at 15,200. However, the number of studios has decreased by 9% since 2021, primarily affecting the "micro" category, which consists of two to four employees. The ESAC suggests that these studios likely closed or downsized, noting an increase in solely-owned companies from 52 in 2021 to 103 in the last year. According to ESAC president and CEO Paul Fogolin, "The video game industry is a vital component of Canada's digital economy, generating high-quality jobs, driving innovation, and showcasing our creativity globally." Fogolin further stated, "Our video game studios have navigated significant challenges following the pandemic, but this report demonstrates the industry's maturity and the importance of continued investment in its growth and success."