November 21, 2024
Dear Prime Minister Trudeau, Minister Freeland, and Minister St-Onge,
Subject: Doubling Funding for the Canada Media Fund to Support Growth in Interactive Digital Media
On behalf of the Canadian Interactive Alliance (CIAIC), I am writing to remind you of your promise to double the Canada Media Fund (CMF) budget to protect Canada’s screen content production capability, effectively doubling the contribution to the Interactive Media sector to more than $94 million of industry support. This will allow the CMF to unlock the full economic and cultural potential of Canada’s Interactive Digital Media (IDM) sector which encompasses video games, virtual reality, augmented reality and the immersive sectors.
Interactive Digital Media represents a global powerhouse in cultural industries, generating over $180 billion annually, a figure that makes the sector comparable to the Film and Television sector. In Canada, IDM contributes $4.1 billion in direct GDP annually, demonstrating a significant economic return with $0.11 million in GDP per full-time equivalent (FTE), compared to $0.06 million per FTE in Film and TV. The Canadian Film and TV sector contributes $11.9 billion in GDP and employs 194,490 Canadians compared to IDM’s 37,850 direct jobs, showing how much opportunity there is to grow Canada’s IDM sector to reach its full potential.
Canadian businesses see this potential and last year the demand for CMF support for IDM projects was $179 million in CMF support for IDM projects, while only $47 million was available to allocate—leaving vital innovation on the table. With the closing of the NFB Interactive Studios, Canada’s IDM sector took a further $5.5 million reduction in support. This gap limits Canada’s ability to lead globally and stifles opportunities for economic and cultural growth.
