8515.0 - Digital Game Development Services, Australia, 2006-07 Quality Declaration 
ARCHIVED ISSUE Released at 11:30 AM (CANBERRA TIME) 08/04/2008  First Issue
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Summary of findings


At end June 2007, there were 45 businesses in Australia involved in the provision of digital game development services. These businesses employed over 1,400 people and generated a total income of $136.9m which represented an average of $3m per business.

Total expenses incurred for the same period were $128.5m. Almost two-thirds of this amount was attributable to labour costs ($83.8m).

During 2006-07 digital game development services businesses recorded an operating profit before tax of $8.5m, and an operating profit margin of 6.2%.


During 2006-07 digital game development services businesses generated a total income of $136.9m. Income from the provision of game development services accounted for 85.4% ($116.9m) of total income.

The majority of income during 2006-07 was earned from overseas sources. Income received from non-resident businesses for the provision of game development services accounted for 79.1% ($108.3m) of total income.

Government funding contributed 1.2% ($1.7m) to total income in 2006-07.

The graph below shows that games developed for console formats (e.g. Playstation, Xbox, Wii) accounted for 71.1% ($83.2m) of total income from the provision of game development services, while games developed for PC and Mac formats accounted for 14.6% ($17.1m).

Game development income by format(a)
Graph: shows console formats accounted for far more game development income (71.1%) than PC and Mac formats (14.6%), handheld formats (9.6%) or mobile phones and other formats (4.6%).


At end June 2007, there were 1,431 people employed by digital game development businesses. The majority were male (89.2% or 1,277 people). The graph below shows that artists and animators accounted for 34.3% (491 people) of total employment, while programmers accounted for 29.1% (417 people). Managerial/administrative/clerical workers contributed 14.8% (212 people) to total employment.

Permanent full-time employees accounted for 92.6% (1,325 people) of total employment with non-residents contributing 6.1% (87 people) to total employment.

Main activity of persons employed(a)
Graph: shows most people were employed as artists and animators (34.3%) or programmers (29.1%). Fewer were engaged in managerial/administrative/clerical work (14.8%), as designers (9.5%) or in other capacities (12.2%).


The graph below shows that businesses providing digital game development services were located predominantly in Queensland and Victoria.

Businesses with a head office situated in Queensland accounted for 40.4% ($55.4m) of total income, 48.6% (695 people) of employment and 22.2% (10) of all businesses. Victoria accounted for the largest proportion of businesses (35.6% or 16), 33.2% ($45.5m) of total income and 33% (472 people) of employment. New South Wales accounted for 17.8% (eight) of all businesses, 8.5% ($11.6m) of total income and 7.2% (103 people) of employment.

Key characteristics by state and territory(a)
Graph: shows Queensland businesses accounted for much more employment (48.6%) and income (40.4%) than Victoria (33% and 33.2%, respectively), New South Wales (7.2% and 8.5%, respectively) or other states and territories (11.3% and 17.8%, respectively).