Australian video game industry revenue rises to $345.5 million

IGEA has revealed the essential Australian games industry snapshot for 2023.
stray gods game igea industry revenue australia

Australia’s Interactive Games & Entertainment Association (IGEA) has released its games industry snapshot for 2023, revealing a significant rise in revenue for local game developers, up 21% year-on-year to AUD $345.5 million. In addition, IGEA reports the number of full-time employees in local game development studios has also risen, by around 17%.

Australia’s game industry is growing – and it will continue to grow in future. In the next financial year, 63% of existing studios are planning to hire new staff, with more than 200 new jobs expected to be created as a result.

New game industry funding and recent sales successes have aided this growth, with IGEA reporting that around 49% of studios surveyed in its latest report were already accessing some form of government funding. An additional 51% of studios are planning to utilise the Digital Games Tax Offset (DGTO) pending future eligibility, in order to grow more stably, and continue producing great games.

“As a direct result of federal and state-based government support, Australian studios are committing to the development of more projects, receiving increased interest from international businesses, and are predicting either income growth (68% of respondents) or income stability (21% of respondents) throughout the 2024 financial year,” IGEA said.

Read: What video game funding really means for local Australian developers

igea game development survey

Per analysis from Ron Curry, CEO of IGEA, nearly half of all existing Australian studios (45%) have been around for less than five years, suggesting the local games industry is growing at a significant rate. To ensure this continues, IGEA is calling on the Australian government to continue providing accessible funding opportunities for everyone, particularly as the economy turns.

“It is important to acknowledge that this is a challenging time for the industry and some studios are really feeling the effects,” Curry said. “Funding and support must continue to ensure the long-term growth and success of the Australian industry so we can maintain the positive trajectory and continue contributing to the Australian economy and talent development.”

Beyond funding, IGEA has also identified a range of challenges the games industry is looking to overcome in the new year, most notably: hiring specialised talent when local talent is hard to come by, and securing international publishing deals.

In a tough year, Australia’s local video game developers have proven incredibly resilient, and there’s no doubt they will continue to push the country’s development scene forward in the years ahead. According to IGEA, there is growth predicted in 2024 and beyond, with plenty more notable video games and experiences to come.

You can view the IGEA’s latest Australian Game Developer Survey online.

Leah J. Williams is a gaming and entertainment journalist who's spent years writing about the games industry, her love for The Sims 2 on Nintendo DS and every piece of weird history she knows. You can find her tweeting @legenette most days.