ESA ANNOUNCES VIDEO GAME INDUSTRY’S RECORD SALES — $18.85 BILLION IN 2007
More than a quarter of a billion computer and video games sold in 2007, producing $9.5 billion in sales, according to new data released by the NPD Group and announced by the Entertainment Software Association (ESA). The record pace meant that on average, nine games sold during every second of 2007. Overall, the industry's North American hardware and software sales totaled $18.85 billion last year.
"The video game industry set the pace over all others in 2007, with record-breaking sales, off-the-charts consumer demand, and innovation reaching from galactic exploration to guitar simulation," said Michael D. Gallagher, president and CEO of the ESA, the association representing U.S. computer and video game software publishers.
The best-selling video game title of 2007, "Halo 3," took in more revenue ($170 million) on its first day of sales than either the final installment in the Harry Potter book series (Harry Potter and the Deathly Hallows, $166 million) or the highest-grossing movie opening ever (Spider-Man 3, $151 million) took in on their first day and weekend, respectively.
The category of games with the greatest growth was "Family Entertainment." Sales of games in this category increased 110%, accounting for 17.2 percent of all games sold in 2007, up from 8.3 percent in 2006. The NPD Group's data also indicates that only 15 percent of games sold last year were rated "Mature (M)," while 56 percent of those sold were rated "Everyone 10 and older (E10+)" and 28 percent were rated "Teen (T)."
For more information»
U.S. VIDEO GAME INDUSTRY'S GROWTH OUTPACES NATIONAL ECONOMY
The computer and video game industry grew at four times the rate of the U.S. economy in recent years, according to a study released by the ESA. The industry grew at an annual rate of 17 percent from 2003 to 2006, compared with the four percent growth of the national economy.
The report, "Video Games in the 21st Century: Economic Contributions of the U.S. Entertainment Software Industry," detailed for the first time the impact that computer and video game industry has on both national and state economies. On the national level, the study revealed that the entertainment software industry in 2006:
- Accounted for $3.8 billion in value added to GDP;
- Employed (directly and indirectly) more than 80,000 people in 31 states; and,
- Paid $2.2 billion in employee compensation, including $92,300 in average salary.
The study also found that, across the country, individual state economies were significantly impacted by computer and video game companies in their state:
- In California, the state employing the most computer and video game personnel, computer and video game companies added $1.7 billion to the state economy;
- In Virginia, the industry grew by 552 percent, more than 172 times as fast as the commonwealth's overall growth; and,
- In Washington, computer and video game companies directly and indirectly employed 9,284 individuals at more than 59 facilities, ranking second nationally.
For more information»
VIDEO GAME VOTERS NETWORK ENGAGING ELECTED OFFICIALS
 It has been a year and a half since the ESA launched the Video Game Voters Network (VGVN), a grassroots political network for voting-aged gamers. The VGVN, located at www.videogamevoters.org, now includes more than 100,000 gamers from all 50 states and every U.S. Territory as well as military personnel serving abroad.
VGVN members encourage legislators nationwide to adopt common sense, constitutional and effective proposals that help parents and caregivers ensure that the games children enjoy are appropriate. VGVN members have written tens of thousands of letters to legislators and sent over 15,000 messages to friends encouraging them to join the network.
Recently, the VGVN took on a video game tax in New Mexico proposed by the Sierra Club. The measure would place an additional tax on video games and televisions purchased in the state.
In its message to VGVN members the ESA stated, "The Sierra Club should educate itself on the growing impact that video games, particularly the Nintendo Wii and Dance Dance Revolution, have in promoting exercise across the nation." They continued, "This proposed video game tax not only levies a burden on video game enthusiasts in New Mexico, but if any game tax bill were to pass into law, it would set a very dangerous precedent. The Sierra Club also wants to tax televisions. So, why limit it to TV and video games, when they could also set their sights on movies and books."
For more information or to join the VGVN»
2008 E3 MEDIA & BUSINESS SUMMIT ANNOUNCED
 The ESA recently announced that the 2008 E3 Media & Business Summit will take place from July 15 – 17, 2008, at the Los Angeles Convention Center (LACC).
The Summit is the premier North American conference for the computer and video game industry. The 2008 event will focus on the business of the entertainment software industry, with an emphasis on press events and small meetings with media, development and other key sectors. While there will be opportunities for game demonstrations, the Summit will not feature the large trade show environment of previous years.
"The 2008 Summit will provide a professional and efficient environment for suite-based meetings with media and other industry leaders," said Michael D. Gallagher, president and CEO of the ESA. "We look forward to welcoming the media and top industry executives to a centralized, business focused and personalized experience. Our program of high-level meetings; networking and personal dialogue; and industry-shaping panel discussions will capture the explosive growth we have seen in 2007 and lay the foundation for the 2008 video game marketplace."
The ESA represents U.S. computer and video game publishers and owns and hosts the E3 Media & Business Summit. The 2008 event will be open to ESA members and non-members alike, including companies involved in console, PC, online and mobile game publishing and developing, as well as makers of video game hardware and peripherals. Additional information about the Summit will be available in early 2008.
For more information» |
Latest News Releases
In the News
- 2.1.2008 — In the List of Top-Selling Games, Clear Evidence of a Sea Change, Seth Schiesel, The New York Times
- 12.15.2007 — Granny Got Game: Wii's Move-Around Style Appeals to a New Demographic, Mike Musgrove, The Washington Post
- 12.6.2007 — Universities Bring Video Games Into Classrooms, Nichola Groom, Reuters
- 11.27.2007 — Moving Beyond Joysticks, and Off the Couch, Tara Parker-Pope, The New York Times
- 11.27.2007 — Now Do You Take Video Games Seriously?, Aaron Corvin, Washington CEO
Quote of the Month
"I think the industry has become much more generally accepted as a mainstream form of entertainment over the last couple of years, and that sets it up well for future expansion."
— NPD Group Analyst Anita Frazier
Statistic of the Month
In the periods 2003 to 2004 and 2005 to 2006, computer and video game industry's contribution to real growth exceeded its share of GDP by more than four to one.
Did You KNOW??
Six states — California, Washington, Texas, New York, Massachusetts, and Illinois — lead the nation in entertainment software industry employment. Collectively the six states directly employ 17,500 workers in computer and video game publishing and development.
Contact Us
Entertainment Software Association
575 7th Street, NW
Suite 300
Washington, DC 20004
For general inquiries, please email esa@theesa.com.
For members of the media only, please contact Dan Hewitt.
|
