Report: California Ranks #1 in Nation for Economic Impact from Video Game Industry With $51.8 Billion Annual Output

New study from Entertainment Software Association also shows industry's widespread impact on employment (218,100 jobs) and other aspects of life in the state

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Entertainment Software Association

Dec 03, 2020, 17:05 ET

WASHINGTON, Dec. 3, 2020 /PRNewswire/ -- No state compares to California with respect to the impact of the U.S. video games on its economy.

A new study from the Entertainment Software Association (ESA) shows the video game industry in California generates $51.8 billion in annual economic output, either through direct industry output ($22.5 billion) or via other participants in the video game ecosystem, such as suppliers and other supported output ($29.3 billion). That ranks the state first nationally—by far—in economic output.

Also, the video game industry accounts for about 218,100 jobs in California, either directly through industry jobs (about 57,400) or through supplier and other supported jobs (about 160,700)—more than any other state.

Overall, the U.S. video game industry's annual economic output is $90.3 billion and accounts for nearly 429,000 jobs.

These are among several key findings from "Video Games in the 21st Century: The 2020 Economic Impact Report," a review of the industry and its wide-ranging impacts released today by the ESA. The report outlines ongoing advancements in technology and vast participation in gameplay that transcends all demographics (in fact, one in three citizens of the world play video games).

The report also lists the top 10 U.S. states ranked by total video game industry-related economic effect. Including California, they are:

STATE	Total Economic Output	Total Employment (jobs, approx.)
1. California	$51.8 billion	218,090
2. Washington	$11.6 billion	48,808
3. Texas	$4.15 billion	24,972
4. Florida	$2.7 billion	16,270
5. New York	$2.07 billion	11,062
6. Nevada	$1.9 billion	10,394
7. Minnesota	$1.8 billion	6,610
8. Idaho	$1.64 billion	7,189
9. Illinois	$1.3 billion	8,112
10. North Carolina	$1.25 billion	7,497

For more details on this data, click here.

Video games are vital in numerous other aspects of American life. As detailed in the ESA's "2020 Essential Facts About the Video Game Industry," Americans across age, gender and other demographic measures find many positive benefits to video games. For instance:

More than 214 million Americans play video games
64% of U.S. adults and 70% percent of those under 18 regularly play video games
The average age of a gamer is 35-44 years old

Further, the report outlines its impact in developing innovative, far-reaching technologies, such as virtual reality, advanced computing and machine learning.

"Video games are a source of much-needed entertainment, stress relief, escape and social interaction," ESA President and CEO Stanley Pierre-Louis said. "The statistics in this detailed report reinforce the significant impact video games have on the U.S. and state economies, including job creation and providing family-sustaining wages in a wide array of careers."

"Video Games in the 21st Century: The 2020 Economic Impact Report" was prepared for the ESA by TEConomy Partners, LLC, a global leader in research, analysis and strategy for innovation-driven economic development.

For more information about the ESA, visit www.theesa.com.

About the ESA

The ESA offers a wide range of services to interactive entertainment software companies, including conducting business and consumer research; providing legal and policy analysis and advocacy on First Amendment, intellectual property, and technology/e-commerce issues; managing a global content protection program; owning and operating E3; and representing video game industry interests in federal and state government relations. For more information, visit the ESA's website or follow the ESA on Twitter @theESA.

SOURCE Entertainment Software Association