Italy’s Games Market Grows by 3%, Domestic Industry on the Rise

Despite a notable decline in hardware sales, the Italian games market grew in 2024. Almost €2.4 billion was generated in Italy from games and hardware. That is an increase of around 3%. The hardware segment fell by 18 per cent, down to a turnover of €548 million. This places Italy in line with international trends, as all European countries experienced a surge in demand in 2023 following the resolution of delivery issues for consoles caused by the pandemic and chip crisis. It was foreseeable that this peak in demand would not be sustained.

Despite a notable decline in hardware sales, the Italian games market grew in 2024. Almost €2.4 billion was generated in Italy from games and hardware. That is an increase of around 3%. The hardware segment fell by 18 per cent, down to a turnover of €548 million. This places Italy in line with international trends, as all European countries experienced a surge in demand in 2023 following the resolution of delivery issues for consoles caused by the pandemic and chip crisis. It was foreseeable that this peak in demand would not be sustained.

However, the Italian games industry itself has also benefited from these developments, as reported in the latest market report by IIDEA (Italian Interactive Digital Entertainment Association). The number of Italian games companies has increased, along with the number of employees and the total revenue generated by domestic studios. In 2024, the association recorded over 200 Italian games companies employing more than 2,800 people, with a combined turnover estimated between €180 million and €200 million.

"The report presented conveys the image of a healthy and expanding industry, as evidenced by the growth recorded both on the business side and in terms of consumers. Launched in the race to conquer an increasingly central position in the international context, the videogame sector in Italy develops along the lines of creativity and innovation, which, when they meet, give life to a form of cultural expression capable of involving a heterogeneous audience and transmitting knowledge. It is in fact a sector that has the ability to go beyond the boundaries of mere entertainment, for example when used in museums or schools. The Ministry of Culture holds in high regard the development of gaming excellence in our country and promotes policies to support and enhance it. Finally, looking at the most recent measures, the amount of 12 million euros of tax credit for the sector has been confirmed again this year, as provided for in the decree allocating the Cinema Fund for 2025," said Sen. Lucia Borgonzoni, Undersecretary of State at the Ministry of Culture.

And Thalita Malagò, General Manager of IIDEA adds: "Our 2024 Annual Report clearly shows how video games have become one of the most popular forms of entertainment for Italians, with an industry that continues to grow and innovate at a national level. Looking to the future, our sector is asking Italian policy makers to recognise video games as a sector with specific needs and characteristics. This recognition is crucial to unlocking the as-yet unexpressed potential for growth, making a decisive contribution to a more sustainable development of the country and its digital and technological transition."

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