Today, North Carolina Governor Beverly Purdue will sign a new law that will offer financial incentives for digital media creation in the state. The Triangle Game Initiative, a non-profit trade association for the local game industry, has applauded the move by the state. Effective January 1, 2011, companies will receive a 15 percent tax credit on compensation for employees involved in the development of interactive media or a platform that runs such media.
“North Carolina is host to a growing hotbed of talented individuals working to develop cutting-edge game technologies and exciting new ways to experience entertainment, visualization and training software,” said Dr. Michael Capps, president of Epic Games. "This law provides North Carolina with a tremendous opportunity to grow and develop our community into a world leader for information technology.”
The law, House Bill 1973, will be signed by Governor Perdue at Epic Games’ headquarters in Cary, NC. Numerous industry executives and state officials will attend the signing event. The bill was spearheaded by State Representatives Pryor Gibson, Grier Martin and Chris Heagarty and Senators Marc Basnight, Dan Clodfelter, Floyd McKissick, Josh Stein, and Clark Jenkins.
"The passage of this legislation marks a significant investment in the future of North Carolina's interactive digital media industry," said Alexander Macris, president of the Triangle Game Initiative. "Our state is home to one of the largest concentrations of game development companies in the United States. These incentives will not only help keep North Carolina competitive on the national stage, it will produce compelling ROI for the state's graduates, skilled work force and research and development infrastructure."
"Game developers and publishers are keen to operate in regions that support and sustain the growth of their operations, especially as the current economic climate places a premium on cost-effectiveness," said Wayne Watkins, Project Manager for Wake County Economic Development. "Adding to the quality of life, creative class and top-notch technology community North Carolina currently boasts, we now have targeted economic development tools that can help both existing companies as well as companies looking to relocate operations."
The Entertainment Software Association praised the North Carolina government for their support for the industry. In 2006, the game industry added $73.4 million to North Carolina’s economy, with the state having fourteen game developers and publishers.
“These incentives are important to creating new, high paying jobs that will attract the state’s best and brightest,” said Ryan Stradling, director of product development, Electronic Arts-North Carolina. “By signing this bill, Governor Perdue will help North Carolina be more competitive in the digital media marketplace.”
“North Carolina is among states leading the charge to embrace computer and video games as a job engine and a magnet to recruit and retain talented artists. These incentives demonstrate the state’s commitment to encouraging the expansion of the entertainment software industry,” said Michael D. Gallagher, CEO of the ESA. “We applaud Governor Perdue and members of the North Carolina Legislature for taking action that will stimulate technological innovations and the state’s economy for years to come.”
