Gaming equipment suppliers generated a total economic impact of $55.8 billion in 2018, according to a study released Wednesday by the sector’s leading trade organization.
The Association of Gaming Equipment Manufacturers (AGEM) said the makers of slot machines, table games, casino management systems and numerous other gaming and non-gaming products supported the jobs of more than 202,000 employees and provided 61,700 direct jobs. In all, the employment numbers covered $14.1 billion in wages and salaries.
The study was conducted for AGEM by Las Vegas-based financial research and advisory firm Applied Analysis and resulted in the report, “Impact Analysis: Global Gaming Supplier Industry.” AGEM Executive Director Marcus Prater said the report was the most comprehensive review to date of the global gaming supplier industry. AGEM has more than 175 member companies in 23 countries.
“Existing suppliers are growing, and new players are entering the space. This report accurately reflects a dynamic sector that is focused on innovation for gaming markets throughout the world,” Prater said. “In summary, the report paints a picture of a healthy overall gaming industry where commercial casinos and tribal properties are capitalizing on advanced technologies and game content from a vast array of creative suppliers to grow their business while providing their customers with new and exciting forms of entertainment.”
According to the report, the average direct wage per employee in the gaming manufacturing industry reached approximately $91,240 in 2018, reflecting a significant premium to the current U.S. average annual wage of $51,960, as listed by the Bureau of Labor Statistics.
Among the other findings, nearly half the AGEM members participating in the survey said they expect to increase staffing levels this year, while 92 percent expect demand for their product and services to improve during the next 12 months. Nearly three-fifths of those surveyed expect economic conditions to improve during the next 12 months.
AGEM said the gaming equipment sector has made an especially strong impact in Nevada and overall employs a broad range of workers, including high-end technical professionals and engineers responsible for hundreds of millions of dollars in research and development expenditures annually.
Major companies with headquarters or U.S. offices in Nevada include AGS, Ainsworth Game Technology, Aristocrat Technologies, Everi, International Game Technology PLC (IGT), Konami Gaming, and Scientific Games.
