Ontario Still Seeing Growth in Canada's Video Game Industry
The Ontario Technology Corridor is still seeing interest and growth in the video game development industry. For video games in general, Canada is ranked as the third most popular country for development, passing up the UK in 2010. From this success, Ontario has become a leading province with an expected growth rate of 21 per cent for video game companies.
Ontario currently employs 2,600 in the video game industry with the highest percentage of such companies at 30 per cent. Even further, earlier this month Ontario’s industry attracted Toca Boca, a leading digital toy app developer, whom through acquisition started Sago Sago studio. This marks Toca Boca’s first investment in Canada through the Ontario Technology Corridor which already hosts leading developers such as Google, Electronic Arts, Gameloft and Arkadium.
“While our region’s strengths in digital entertainment have attracted large studio wins like Ubisoft, Ontario’s world class talent and targeted financial incentives have created a powerful concentration of highly innovative companies and a vibrant digital media and video gaming ecosystem. Our message at GDC 2013 is this: If your company is growing quickly and expanding, join us in Ontario,” says Darius Basarab, Senior Business Development Specialist, Ontario Ministry of Economic Development, Trade and Employment.
What makes Ontario so attractive to the video game industry? The Ontario Technology Corridor offers the following incentives to bring further investment into the province including the Ontario Computer Animation and Special Effects Tax Credit (OCASE) –a refundable tax credit of 20 per cent, the Ontario Interactive Digital Media Tax Credit (OIDMTC)—a tax credit of 35-40 per cent, the Ontario Media Development Corporation (OMDC) Interactive Digital Media Fund – a contribution of up to $150,000/maximum of 50 per cent of project budget, the Ontario Production Service tax Credit (OPSTC) –a refundable tax credit of 25 per cent, SR&ED—tax incentives to reduce R&D costs, and the Ontario Media Development Corporation (OMDC) tax incentives.
