Are Italian Video Games at Risk? IIDEA Calls for Urgent Answers on the 2025 Tax Credit

IIDEA, the association representing the video game industry in Italy, has issued an appeal to the Ministry of Culture for immediate updates on the status of the tax credit dedicated to video game production and the future prospects of support tools for the sector.

The request was formalized through a communication addressed to the Minister of Culture Alessandro Giuli and Undersecretary Lucia Borgonzoni. The main concern is related to the lack of initiation for the session concerning 2025, which has not yet begun despite an allocation of 12 million euros being planned.

According to the association, the absence of certain dates and official indications risks creating difficulties for companies in the sector, which in recent years have included the tax credit among the essential tools for planning their production and financial activities. This uncertainty could negatively impact both investments and employment prospects.

The General Director and Delegate Advisor of IIDEA, Thalita Malagò, highlighted how the tax credit has gradually attracted international capital, supported specialized employment, and favored the growth of Italian companies. For this reason, the prolongation of the current situation is considered a point of strong concern for the entire sector.

IIDEA and the Letter Sent to Institutions

In the letter sent to institutions, IIDEA recalls that the incentive, introduced in 2021, has accompanied a phase of significant expansion of the national video game industry. Between 2022 and 2025, the number of active companies has increased by 25%, employment by 17%, and revenue by 36%. Moreover, the sector has a strong presence of young professionals and is set to release over 80 new video games in the next two years.

Since the launch of the measure, four sessions of the tax credit have been initiated. Requests submitted by companies have amounted to approximately 40.7 million euros, against over 204.5 million euros of declared investments, a figure that according to the association demonstrates the effectiveness of the tool in generating economic development.

IIDEA also draws attention to the necessity of quickly initiating the process for renewing the European authorization of the tax credit, currently set to last until the end of 2026. Any delay could jeopardize the continuity of the measure from 2027. The association finally suggests that alongside tax incentives, forms of direct financing should also be introduced, deemed particularly useful to support emerging studios and small teams.