South Australia’s games industry has been given a boost by the Marshall Liberal Government with an extension to the existing Post-Production, Digital and Visual Effects (PDV) Rebate to video game development.
The move will drive jobs growth and attract international investment to South Australia in a sector worth $180 billion globally, larger than the film and music industries combined.
The PDV extension is a 10 per cent rebate on qualifying production expenditure in South Australia, and is aimed at further growing the Creative Industries sector.
More than 14,600 South Australians are employed within the creative industries sector and more than 36,470 work in technology, with tech from the video games industry crossing into defence, manufacturing, space, cyber, health and education.
Minister for Trade and Investment, David Ridgway said today’s announcement will give a massive boost to many of South Australia’s key growth sectors.
“This is an incredible growth industry and this rebate will not only help attract international games companies to South Australia, it will bolster the long-term growth of local players and other industries using the same technologies.”
“With our existing world-class VFX industry, the rebate for video game development sets up South Australia to be an international epicentre for the Creative Industries.”
“What is even more exciting is the skills transfer into other industries as the uptake and adoption of games technology, 3D simulation and virtual reality increasingly crosses over into multiple hi-tech industries.
“The jobs of the future will require this technology as 3D visualisation and simulation becomes the industry norm.”
BAE Systems’ ASC Shipbuilding Managing Director Craig Lockhart said: “Virtual reality and 3D visualisation and simulation is increasingly being used by shipbuilders as part of the Hunter Class Frigate Program to gain an understanding of the new facility Osborne, test build processes and develop digital work orders to improve shipyard efficiency and effectiveness.
“Investment in South Australia’s games industry will have far-reaching benefits to the shipbuilding sector as we can apply these techniques in our build and sustainment programs and it also provides business opportunities for the state’s gaming sector and alternative career pathways for games developers.”
Minister for Innovation and Skills David Pisoni said this rebate will also enable our existing games companies to take on more fee for service work as well as develop more South Australian-owned intellectual property.
“It will support entrepreneurs to launch new game development start-ups – all ultimately leading to more skilled jobs within South Australia’s creative industries.
“I am delighted that this new rebate will enable the South Australian Film Corporation to enhance its initiatives to develop and grow the state’s games industry,” Minister Pisoni said.
SAFC CEO Kate Croser said the agency has been working collaboratively with the games sector to support its growth.
“The announcement of this rebate for games builds on the benefits reaped from the $300,000 Games Innovation Fund launched by this government, designed to boost the progress of outstanding, original and creative digital games for production in South Australia.
“Being the first in the nation to offer a games rebate will give our South Australian games companies the advantage to make them more competitive internationally.”
With a growing, independent games industry in South Australia, the sector continues to have an international impact with worldwide hits such as Team Cherry’s Hollow Knight, ODD Games’ Monster Truck Destruction, Team Fractal Alligator’s Hacknet, and the upcoming Mighty Kingdom release Conan Chop Chop.
Mighty Kingdom CEO, Philip Mayes, believes the rebate for games will further cement the state’s leadership position.
“It makes South Australia an attractive destination for investment and growth, which will provide many of the highly skilled jobs of the future for our state,” Mr Mayes said.
“Mighty Kingdom applauds the leadership and vision of the South Australian Government in recognising the huge potential of this industry.
“This incentive is quite literally a game changer for the game development industry in Australia.”
Game Development has been extended to the existing terms of the South Australian PDV Rebate, which is administered by the South Australian Film Corporation.
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