Export revenue dominated the sector, accounting for 98% of total revenue for studios receiving GDSR funding.

The $829 million figure covers only rebate-qualifying studios and represents about a fifth of New Zealand’s total game industry, which comprises roughly 200 studios.

Total full-time employment in the sector declined from 1,288 to 1,124, while the average recipient studio grew its workforce by 14%, signaling consolidation and uneven scaling.

Despite the overall employment drop, the average GDSR recipient studio expanded its staff by 14%, indicating continued investment in talent.

The sector employs over 1,000 full-time workers across 43 studios in high-skill roles such as software engineering, UX/UI design, audio, and project management, underscoring its value as a high-margin export.

NZ On Air highlighted the sector’s reliance on small and medium-sized studios and noted growing international recognition and resilience under the GDSR framework.

Looking ahead, the full-industry figures due in September will clarify whether the sector is larger and growing faster than the global gaming industry, with NZ On Air expecting substantial growth in the broader sector.

About 90% of beneficiary studios are small to medium-sized, with medium studios leading revenue growth at 44%, small studios at 21%, and large studios at 10%.

New Zealand’s game development sector has grown into a significant export industry, with 43 studios under the New Zealand On Air Game Development Sector Rebate generating $829 million in revenue for the year ending July 2026, up 17% from the prior year.

Analysts argue the sector’s growth justifies treating it as a serious, strategic export asset for New Zealand, with potential to influence investors and policymakers to support continued onshore activity.

The industry surpassed $1 billion in total revenue in 2026, two years ahead of earlier projections, with the majority of this milestone driven by the GDSR introduced in 2023.

Full-time equivalent employment among recipient studios fell during the year, reflecting a mixed jobs picture amid global industry challenges.