Supplier News
US – AGEM Economic Impact study shows continued strength in US equipment sector
By Phil - 5 April 2023
Suppliers to the global gaming industry generated a significant and improved total economic impact of more than $44bn through 2021, according to a comprehensive report released today by the Association of Gaming Equipment Manufacturers (AGEM).
The supplier industry’s value-added economic impact rose 16.8 per cent v. 2020, to $24bn. Further, gaming industry suppliers supported approximately 192,000 employees, including 68,000 direct employees, with a total of $17bn in wages and salaries, up 14.7% over the prior year.
The report, “Impact Analysis: Global Gaming Supplier Industry, 2021,” shows the findings of an independent study commissioned by AGEM and conducted by Nevada-based research firm Applied Analysis.
While the impact of the global gaming industry spans domestic and international markets, companies doing business in Nevada generated $8.3bn in direct global economic output ($21.7bn in total output). Other impact measures include $11.9bn in total value added, $5.9bn in wages and salaries and over 67,000 employees for companies that have operations in Nevada.
The global gaming supplier industry directly generated approximately $17bn in economic output during 2021. Total output reached over $44bn (up 14.9 per cent)
The value-added total impacts (including indirect and induced) equated to $24bn in 2021 (up 16.8 per cent). Employers paid nearly $8bn in direct wages to employees, while total earnings throughout the economy reached nearly $17bn in 2021 (up 14.7 per cent)
Direct jobs in the industry reached nearly 68,000, and the multiplier effect resulted in nearly 192,000 positions around the globe in 2021 (+4.2 percent)
“The gaming supplier story is one of innovation, technology, and global reach. The ripple effect of this industry is something all our member companies can be proud of,” said AGEM Executive Director Daron Dorsey. “Globally, the gaming supplier industry is a key source of technological innovation and advanced manufacturing investment. We are exporting valuable, legal products to meet high consumer demand in regulated gaming jurisdictions worldwide, with economic impacts and operations that fit well with objectives of key stakeholders in terms of economic expansion and opportunity.”
Among AGEM Voting Member companies surveyed for the report 72.2 per cent experienced increased revenues in 2021, 55.6 per cent indicated the number of employees in their company increased from 2020 and 50 per cent expect to maintain staffing levels, and 43 per cent expect to increase workforce over the next 12 months. 61 per cent indicated salaries and wages paid increased in 2021.
The report reflects a recurring update and the most comprehensive review to date of the global gaming supplier industry that analyzes the size and scope of this technology-driven sector, specifically identifying AGEM members’ global reach spanning every regulated gaming market in the world.
