Rapid Expansion of the Italian Video Game Industry

The Italian Interactive Digital Entertainment Association (IIDEA) has recently shared some figures, showing that Italy saw a significant increase in video game developers in 2022. The game industry’s workforce expanded by 50%, bringing the total number of employees to over 2,400.

Various reasons can be pointed out for this sudden growth:

  • Tax Benefits: One major reason for the rise is the tax benefits that were introduced by Italy’s government for game developers. Firms that have their main operations in the European Economic Area (EEA) and also pay taxes in Italy can avail of a 25% tax discount on their project expenses, with the maximum limit being €1 million.
  • Growth Plans of Companies: Content: Currently, 20% of businesses have between 11 and 20 employees. This is 5% higher than last year. In addition, close to 69% of businesses that participated in our study plan to hire more people or work with new partners in the next few years. This indicates a 10% increase compared to last year’s data.
  • Age Group and Gender of Employees: Most people working in Italy’s video game business are pretty young. Half of them are between 30 to 35 years old, while 32% are aged 25 to 29. Just a small part (10%) are between the ages of 36 to 40, and an even smaller group (7%) is older than 40. Moreover, more and more women are getting into gaming. Their numbers have gone up by 1% from last year, so now they make up 24% of all the workers in this field.

Industry Financing and Earnings

Most businesses in the sector have been majorly self-reliant for financing:

Self-funding: 86% of companies claimed they primarily finance themselves. However, this number has decreased from the 93% reported in 2021.

External Funding: 30% of businesses revealed they receive publisher support, and 29% get public funds—a growth from the 24% the preceding year. Additionally, 19% are backed by private equity, 13% rely on fundraising, 10% secure banking assistance, 7% obtain future venture capital, and 5% receive financial assistance from platform holders.

Revenue Turnover: The industry, while growing, still has room for development in terms of revenue. Only 22% of companies reported a turnover surpassing €500,000. 26% claim turnovers between €100,000 and €500,000, with a majority (52%) reporting turnovers below €100,000.

Platform Preference and Industry Recognition

In terms of the platforms being catered to:

Platform Distribution: The bulk of the industry focuses on PC games, accounting for 84% of the titles. Mobile and console games follow with 54% and 38% respectively.

Adding to the achievements of the Italian gaming industry, the 2023 Italian Video Game Awards have recognized several outstanding contributions:

Awards: The game ‘Terrorbane’ was conferred the title of Best Italian Game. Ubisoft Milan received accolades as the Outstanding Italian Company. Cristina Nava, a producer at Ubisoft Milan, was awarded for Outstanding Individual Contribution.


The future of the Italian video game industry looks promising. The government’s supportive measures, combined with increasing investments and rising workforce numbers, paint an optimistic picture. As the country’s industry continues to thrive and evolve, the global community anticipates further advancements and innovative contributions from Italy.

For in-depth coverage of the Italian game sector, please visit GamesIndustry.biz.

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